Empire Petroleum Corporation (OTCMKTS:EMPR) Stock Gains Momentum After The Recent Move
Empire Petroleum Corporation (OTCMKTS:EMPR) stock continued move higher on Friday and closed the past week with a gain of 8%. The stock is up about 380% so far this year.
Market Action
In Friday’s trading session, EMPR closed up by 0.32% to $1.58. More than 7.5K shares have exchanged hands, above its average volume of 5.44K shares. The stock opened at $1.60 and moved in a range of $1.5800 – 1.6000.
August 31, 2021 – Empress Royalty Announces Debt Agreement
Here are the highlights:
Empire Petroleum announce that it has entered into an agreement with Accendo Banco, S.A., Institución de Banca Múltiple (“Accendo”) for the provision of a secured medium term bridge loan facility the (“Facility”) in the amount of US$5.2 million.
The proceeds of the Facility will be used to finance the second tranche of the Company’s Sierra Antapite stream acquisition (see the Company’s news release of July 28, 2021) and for general and working capital. Amounts borrowed under the Facility will bear interest at the rate of 11% per annum. The Facility will be secured via a pledge over the Altaley Mining stream held by Empress Royalty and potentially by other security. Amounts borrowed under the Facility must be repaid 24 months from the date of the Facility.
In connection with the Facility, Accendo will be paid an arrangement and origination fee of US$156,000, will be entitled to reimbursement of its expenses, and will be issued 6,500,000 share purchase warrants to purchase common shares at an exercise price of C$0.40 per share for a two year term from the date of closing. If amounts borrowed under the Facility are repaid before one year, the term of the warrants will be reduced on a pro-rata basis to one year in accordance with the policies of the TSX Venture Exchange.
Key Quote:
“The Facility, in combination with our projected revenue, will expand Empress Royalty’s capacity to further grow our precious metal portfolio,” stated Alexandra Woodyer Sherron, CEO and President of Empress Royalty. “This transaction also highlights the unique relationships we have with our Strategic Partners and we would like to thank Accendo Banco for their continued support and belief in our long term business strategy.”
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