Financing

On 13 March 2024, Kenmare announced the signing of a new Revolving Credit Facility with Absa Bank, Nedbank, Rand Merchant Bank and Standard Bank Group.

The first funds were disbursed on 11 March 2024. The previous Term Loan (of US$140 million) and Revolving Credit Facility (of US$40 million) put in place in December 2019 have been repaid in full.

Key terms of Revolving Credit Facility

Facility of $200 million with a committed five-year term

Interest rate of 4.85% plus SOFR per year, an improvement on the previous term loan interest rate of 5.4% plus SOFR

Key financial covenants:
- Interest cover ratio of >4.00 times;
- Net debt to EBITDA of <2 times; and
- Minimum liquidity of $25 million
Distribution covenants:
- Net debt to EBITDA of <1.5 times; and
- Minimum liquidity of $25 million
Lenders will share a security package for a $50 million mine closure guarantee facility

Further details of the new debt facilities are set out in the following two announcements: