Imperial Metals closed a $20 million bridge loan financing with affiliates of its two major shareholders, Edco Capital, controlled by N. Murray Edwards and The Fairholme Partnership, a private fund advised by Fairholme Capital Management.
Edco Capital and The Fairholme Partnership each provided $10 million of the bridge loan.
The bridge loan is secured by all assets of the company, and is subordinated to the company’s senior credit facility and second lien credit facility lenders.
The bridge loan proceeds will be used for general working capital purposes and to support ongoing operations.
The loan is a “related party transaction” under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions.
Imperial is a Vancouver-based exploration, mine development and operating company. The company, through its subsidiaries, owns the Red Chris, Mount Polley and Huckleberry copper mines in British Columbia. Imperial also holds a 50% interest in the Ruddock Creek lead|zinc property in British Columbia.