LYDIAN SHAREHOLDERS OVERWHELMINGLY APPROVE $80 MILLION PRIVATE PLACEMENTS
Lydian International Ltd. (LYD.V) has released the results of voting at its extraordinary general meeting of shareholders held on May 18, 2016. The resolution presented to shareholders sought approval of private placements totalling $80-million (U.S.) with Orion CO-IV (ED) Ltd. and Resource Capital Fund VI LP (RCF) and issuance of certain warrants to Orion CO-IV (SO) Ltd. and RCF in connection with a credit facility dated Nov. 30, 2015.
At the special meeting, 87.1 per cent of the votes cast by holders of Lydian’s ordinary shares present (or represented by proxy) and eligible to vote on the private placement resolution approved the resolution and, consequently, such resolution was adopted. Final voting results will be published shortly on SEDAR.
Approval of the private placement resolution by Lydian’s shareholders was a necessary condition of the financing transactions entered into with Orion and RCF on Nov. 30, 2015, and March 11, 2016 (see Lydian’s news releases, dated Dec. 1, 2015, and March 14, 2016), and was an escrow release condition under the terms of the subscription receipts issued by the company in March, 2016 (see Lydian’s news releases dated March 17, 2016, and March 23, 2016). Financing of the private placements with Orion and RCF and release of the proceeds from the subscription receipts will occur upon the satisfaction or waiver of all other conditions precedent of these transactions.
Gordon Wylie, chairman of the board, commented: “We are extremely pleased with the level of participation by our shareholders. Nearly two-thirds of the eligible shares were voted. I would like to thank our shareholders for their positive support of the private placements resolution. We now look forward to funding from these transactions and then developing a world-class gold mine in the Republic of Armenia for the benefit of all our stakeholders.”