Petra’s shares plunge on debt restructuring news
Shareholders may be reduced to a 9% stake in the diamond miner as it finalises a critical debt restructuring deal with its lenders
20 October 2020 - 10:51
UPDATED 20 October 2020 - 18:07
Shares in Petra Diamonds, one of SA’s major sources of diamonds, crashed by more than 17% after unveiling a debt restructuring plan with its lenders that could diminish shareholders' ownership in the company to a tiny fraction.
The transaction to save London-listed Petra could result in the existing shareholders’ stake in the miner falling to 9% of the enlarged number of shares in issue as lenders in a debt-for-equity swap take 91% ownership...
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