BlackGold extends cut off date for bond subscription agreement

BLACKGOLD Natural Resources is extending the cut-off date for Jinzhou Business Investment Logistics Co (JBIL) to complete the subscription of an initial tranche of bonds, said the Catalist-listed coal-mining company in a regulatory update on Friday. 

This comes as the precautionary measures implemented by various offices in China on the back of the Covid-19 outbreak have hindered fulfillment of certain conditions of the convertible bond agreement.

The company had announced in February that it was looking to raise up to S$25 million by issuing interest-free convertible bonds to three investors, to finance new plans for the business. JBIL had agreed to subscribe for an initial tranche of bonds with a principal amount of S$3 million, subject to conditions to be satisfied on March 30. 

BlackGold and JBIL have since "mutually agreed in writing" to extend the cut-off date to June 1.

BlackGold shares closed flat at S$0.01 on Friday.