| Mon 15 Nov 2010, 7:22 | | GDO - Gold One International Limited - Convertible bondholders elect not to |
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GDO
GDO
GDO - Gold One International Limited - Convertible bondholders elect not to
exercise their once-off put option
Gold One International Limited
Registered in Western Australia under the Corporations Act, 2001 (Cth)
Registration number ACN: 094 265 746
Registered as an external company in the Republic of South Africa
Registration number: 2009/000032/10
Share code on the ASX/JSE: GDO
OTCQX International: GLDZY
ISIN: AU000000GDO5
("Gold One" or the "company")
CONVERTIBLE BONDHOLDERS ELECT NOT TO EXERCISE THEIR ONCE-OFF PUT OPTION
Gold One is pleased to announce that none of its convertible bondholders has
exercised their once-off put option to redeem their bonds for cash.
Gold One will therefore no longer require the credit approved US$65-million debt
facility, which was being concluded with Absa Capital (a division of Absa Bank
Limited) and BNP Paribas, to fund the US$62 million redemption value of the
remaining bonds.
The terms and conditions of the convertible bonds remain unchanged with a
maturity date of 13 December 2012, interest of 8.5% per annum payable quarterly
in arrears, and a redemption value of 109.6% of the nominal value - unless
converted into Gold One`s shares at the bondholders` option at any time during
the conversion period. Gold One can redeem all of the bonds if the market value
of the shares that would be issued on conversion exceeds 150% of the conversion
price. A partial redemption is not allowed and the conversion price of the bonds
is currently US$0.38.
Gold One President and Chief Executive Officer Neal Froneman comments: "The
election of bondholders not to redeem their bonds for cash is clear recognition
of the underlying value of the Gold One equity and the solid fundamentals of
Gold One. This is an excellent outcome for all parties and eliminates the need
for Gold One to take on any hedging."
Parktown, Johannesburg
15 November 2010
MACQUARIE FIRST SOUTH ADVISERS (PTY) LIMITED
JSE Sponsor
Issued by Gold One International Limited
www.gold1.co.za
Neal Froneman President and CEO
+27 11 726 1047 (office) +27 83 628 0226 (mobile)
neal.froneman@gold1.co.za
Ilja Graulich Investor Relations
+27 11 726 1047 (office) +27 83 604 0820 (mobile)
ilja.graulich@gold1.co.za
Carol Smith Investor Relations
+27 11 726 1047 (office) +27 82 338 2228 (mobile)
carol.smith@gold1.co.za
Derek Besier Farrington National Sydney
+61 2 9332 4448 (office) +61 421 768 224 (mobile) derek.besier@farrington.com.au
About Gold One
Gold One is a gold producer listed on the financial markets operated by the ASX
Limited and the JSE Limited, issuer code GDO. Its flagship operation is the
newly built shallow Modder East mine on the East Rand, some 30 km from
Johannesburg.
Modder East is the first new mine to be built in the region in 28 years and
distinguishes itself from most of the other gold mines in South Africa owing to
its shallow nature (300 m to 500 m below surface). To date Modder East has
provided direct employment opportunities for over 1,100 people. Gold One also
owns the nearby existing Sub Nigel mine, which is used primarily as a training
centre in the build-up of Modder East to full production. Gold One`s other
projects and targets include Ventersburg in the Free State Goldfields, the Tulo
concession in Mozambique and the Etendeka greenfield project in Namibia. Gold
One has an issued share capital of 806,306,667 shares.
This news release does not constitute investment advice. Neither this news
release nor the information contained in it constitutes an offer, invitation,
solicitation or recommendation in relation to the purchase or sale of securities
in any jurisdiction.
Date: 15/11/2010 07:22:01 Produced by the JSE SENS Department.
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