Asante Gold entered into the key definitive agreements for the company’s previously announced financing plans, and a restructuring agreement with Kinross Gold.
The agreements encompass a senior debt facility in the amount of $150 million, a subordinated debt facility in the amount of $125 million and a gold stream financing in the amount of $50 million. Along with the C$237 million bought deal private placement of subscription receipts completed on July 7, 2025 and a further anticipated $10 million non-brokered private placement of common shares of the company, the company expects to receive approximately $500 million in total gross proceeds in August 2025. The material terms of the financing package are consistent with the company’s news releases dated June 17, 2025 and July 7, 2025.
The company intends to use the net proceeds of the financing package for development and growth expenditures at the Bibiani and Chirano mines in Ghana, satisfaction of a cash payment due to Kinross, the retirement of short-term liabilities and for general working capital purposes.
The company expects the financing package to close in two stages as certain conditions precedent are satisfied.
The first stage, the components of which are anticipated to close by Aug. 15, 2025, will include approximately $350 million of funding consisting of: (i) the release of the net proceeds being held in escrow in connection with the C$237 million brokered private placement; (ii) the $125 million mezzanine facility; (iii) the $50 million gold stream; (iv) the $10 million non-brokered private placement; and (v) a $5 million utilization of the senior debt facility. The Kinross restructuring is expected to be completed concurrent with the release of the net proceeds being held in escrow in connection with the brokered private placement, which is expected to occur in advance of draw down under the senior debt facility, mezzanine facility and gold stream.
The second stage, anticipated to close by the end of August 2025, will encompass a second utilization and the full availability of the remaining $145m capacity under the senior debt facility.
