EQ Resources (ASX:EQR) said the repayment of a debt facility totaling 5 million euros by its Spanish subsidiary, Saloro, reduced its debt to Santander by 25% and secured extensions on remaining credit lines, according to a Monday filing with the Australian bourse.
The repayment aligns with earlier debt extension plans, with the remaining debt of 15 million euros with Santander extended to Dec. 10 and CaixaBank approving a 5-million-euro extension, pending final documentation by month-end, the filing said.
Following record production and an unaudited 4.4 million euros in earnings before interest, taxes, depreciation, and amortization for the fourth quarter of 2024 to the first quarter of this year, the company started talks with Santander and Caixa to restructure Saloro's credit facilities, the filing added.
The company's shares slipped almost 3% in recent Tuesday trade.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.