Liberty Star Uranium & Metals Corp. (OTCQB:LBSR), a Nevada-based metal mining company, has entered into a financing agreement with 1800 Diagonal Lending LLC, securing a $67,200 unsecured bridge loan. The transaction, effective as of Monday, December 2, 2024, involves the issuance of an interest-bearing bridge note with an annual interest rate of 10% and a maturity date of September 15, 2025.
The note, which carries a 16.67% original issue discount, stipulates four set monthly cash payments commencing six months from the effective date. The company has the option to prepay the note without incurring any penalties. Additionally, in the event of default, the note includes provisions that may allow conversion into shares of Liberty Star's common stock.
Investors and stakeholders of Liberty Star can refer to the company's SEC filing for a detailed look at the bridge note and the securities purchase agreement. This information is based on the documents filed with the SEC and serves to provide a transparent view of the company's latest financial arrangements.
With the company's next earnings report scheduled for December 19, 2024, InvestingPro subscribers can access comprehensive financial metrics and real-time analysis to make informed investment decisions.
With the company's next earnings report scheduled for December 19, 2024, InvestingPro subscribers can access comprehensive financial metrics and real-time analysis to make informed investment decisions.
The bridge financing is a strategic move for Liberty Star, providing the company with immediate capital that could be used for various corporate purposes. The terms of the agreement ensure that the company maintains some financial flexibility, with the ability to make repayments in cash rather than equity if it chooses to do so.
Investors and stakeholders of Liberty Star can refer to the company's SEC filing for a detailed look at the bridge note and the securities purchase agreement. This information is based on the documents filed with the SEC and serves to provide a transparent view of the company's latest financial arrangements.
In other recent news, Liberty Star Uranium & Metals Corp. secured a series of significant financial agreements. The company entered an unsecured promissory note agreement with 1800 Diagonal Lending LLC for a principal amount of $97,200, carrying a 10% interest rate, set to mature on July 30, 2025.
Liberty Star also secured an investment agreement with GHS Investments, LLC, amounting to $10 million for the sale of its common stock, aimed at funding operations and exploration activities.
Liberty Star received a financial boost of $150,000 from Peter O'Heeron, Chairman of the company, intended to cover operational and exploration expenses. Additionally, the company secured a $79,200 unsecured promissory note with 1800 Diagonal Lending LLC, and a $70,000 loan from Mr. O'Heeron, both carrying an annual interest rate of 10%.
In exploration developments, the company reported the discovery of high-grade gold at its Red Rock Canyon Gold Project in southeast Arizona. Initial channel sampling assay results revealed over 30% of the lenses sampled showed more than 1.5 grams per ton of gold over their full widths.
Finally, Liberty Star announced the addition of Gerardo King, a finance expert with 25 years of experience, to its Board of Directors. These developments reflect Liberty Star's financial strategies and progress in exploration activities.
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