16/02/2018 - 13:22

Positive return for Paladin

16/02/2018 - 13:22

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Uranium miner Paladin Energy made a positive return to the ASX today following a tumultuous period during which it announced a recapitalisation deal that left shareholders with 2 per cent of the company’s equity.

Positive return for Paladin
Paladin Energy's Langer Heinrich deposit is located in Namibia.

Uranium miner Paladin Energy made a positive return to the ASX today following a tumultuous period during which it announced a recapitalisation deal that left shareholders with 2 per cent of the company’s equity.

Paladin’s shares were suspended in June last year, when they traded at 4.7 cents each, but the stock price was up more than 300 per cent today, finishing at 20 cents at the close.

Earlier this month, the company confirmed a recapitalisation that included a major debt-for-equity swap.

Under the agreement, about 98 per cent of Paladin’s shares on issue were transferred to creditors and other investors.

Creditors were transferred a 70 per cent slice of Paladin’s share issue, a further 25 per cent of shares were issued to creditors who participated in a $US115 million secured note raising, while 3 per cent was issued to the underwriter of the new bond.

The remaining 2 per cent of scrip remained in the hands of existing shareholders.

The board also underwent changes, with Atlas Iron non-executive director Daniel Harris appointed to the board, along with Canada-based iCobalt managing director David Riekie.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

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