Financial services provider Absa has authorised a $40 million (R750 million) increase to an existing $53 million (R1 billion) first-lien revolving credit facility, according to Petra Diamonds.
The increase is subject to the completion of an amendment to the existing facility agreement, but the existing covenants, margin, fees, and maturity date will remain unchanged.
Petra said $45 million (R850 million) was already withdrawn from the facility, leaving $48 million (R900 million) available under the expanded facility.
"Securing this increased facility, coupled with the recently announced capital deferrals and cost optimisation, further improves our resilience and operational and sales flexibility in the event of a weaker-for-longer diamond market," said company chief executive Richard Duffy.
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
