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  • TAALERITEHDAS SUBSCRIBES CONVERTIBLES IN SOTKAMO SILVER FOR 1,5 M€ AND GIVES AN UNDERWRITING GUARANTEE OF TOTALLY 3 M€

TAALERITEHDAS SUBSCRIBES CONVERTIBLES IN SOTKAMO SILVER FOR 1,5 M€ AND GIVES AN UNDERWRITING GUARANTEE OF TOTALLY 3 M€

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Taaleritehtaan Sijoitustehdas Oy has subscribed for 2,064,319 convertibles issued by the Company for a total amount of SEK 14,161,228.34 (1,5 M€). Each convertible with a par value of SEK 6.86.

At next issue, Taaleritehdas undertakes to subscribe for the number of shares that corresponds € 3 million. The conditions will be the same for all subscribers.

Taaleritehdas is entitled, from the date the convertibles are registered at the Swedish Companies Registration Office up to and inclusive March 15th 2017 to ask for conversion into new shares. Maximum amount can be 2,064,319 shares. The Company is entitled, from the date the issue is registered at the Swedish Companies Registration Office up to and inclusive March 15th 2017, on one or more occasions, wholly or partly, redeem for an amount corresponding to 105 % of their nominal amount plus accrued interest.

The convertible loan is due March 31st 2017, to the extent that conversion has not taken place prior to that date, or the Company has not repaid the loan as an early repayment.

The issue of the convertibles have been resolved by the Board on October 28th 2015 under an authorization resolved at an earlier Annual General Meeting. The authorizing gives the Board the right to, at one or several occasions, issue new shares, or other financial instruments with a maximum dilution of ten (10) per cent of the total number of shares outstanding at the time of the first Board resolution in accordance with the authorization.

"This financing is warmly welcomed at the period of financing negotiations and construction of the finalized financing package. The Company actively work on preparation of a financing- solution and I believe the solution will be achieved during the first half year of 2016. The underwriting guarantee of 3 M€ together with ABB ́s financing and TEKES ́ loan are very important steps in the financing of the Silver Mine project." say the CEO, Timo Lindborg, Dr of Technilogy.

"We are involved in the arrangements, where Sotkamo Silver seeks funding for the Silver Mine to launch the operations. We are happy to participate in such projects, which contribute to regional business, but where the risks are well controlled. The Silver Mine will generate about one hundred new jobs at the Sotkamo region”, say Juhani Elomaa, President and CEO of Taaleritehdas

Stockholm, 30th October 2015

Sotkamo Silver AB

Timo Lindborg, CEO

 

More information about Taaleritehdas, view: http://www.taaleritehdas.fi/en

Sotkamo Silver AB discloses the information provided herein pursuant to the Swedish Securities Markets Act and/or the Swedish Financial Instruments Trading Act

The official Stock Exchange Releases are given in Swedish and there may be slight differences in the translated versions.

The Company's press releases and financial reports are distributed via NGM and are available on www.silver.fi .  For further information please contact Timo Lindborg, CEO on +46-8-304920.

www.silver.fi

 

About Sotkamo Silver AB:

Sotkamo Silver AB´s business concept is to exploit mineral deposits in the Nordic countries with regards to human society and environment. Sotkamo Silver owns, through its subsidiary mineral deposits, which contains silver and gold in Finland. The Company’s main development project is the Silver Mine project in the municipality of Sotkamo.

Sotkamo Silver applies SveMin’s & FinnMin’s respective rules of reporting for public mining & exploration companies. Sotkamo Silver has chosen to report mineral resources and ore reserves according to the internationally accepted JORC or NI 43-101-code. The company applies International Financial Reporting Standards (IFRS) as approved by the European Union.

The ticker symbol is SOSI in NGM Equity in Stockholm and SOSI1 in NASDAQ OMX Helsinki. ISIN-code for Sotkamo Silver shares is SE0001057910.

Read more about Sotkamo Silver on www.sotkamosilver.com or www.silver.fi

For further information: Timo Lindborg, CEO, tel. +358 40 508 3 507