Golden Saint Resources issues loan notes to raise £250,000

Gold and diamond explorer Golden Saint Resources unveiled plans to raise £250,000 by issuing 8% transferable convertible loan notes.

Under the terms of the issue, the company will deposit £125,000 from the proceeds of the sale of its inventory of diamonds until 540 days after the loan note has been issued or on the date on which all loan notes have been repaid or converted.

The London-listed company said the notes are convertible into ordinary shares at a price that represents a 20% discount to the average closing price per share during the 10 days preceding the date of conversion.

Golden Saint added the loan issue note will not go ahead unless a minimum amount of £50,000 is reached.

Golden Saint shares were down 8.91% to 0.0501p at 1013 BST on Friday.