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LONDON - Aterian plc (LSE:ATN), a critical mineral exploration and development company, has secured $325,000 in mezzanine funding to support its operations and expand trading activities in Rwanda, according to a press release issued Tuesday.
The funding will primarily focus on the acquisition and sale of tantalum-niobium concentrate, commonly known as Coltan. The company stated the financing is being advanced alongside a partnership with an unnamed "leading metals and minerals trading house with a global presence."
As part of the transaction, Aterian has issued 1.043 million warrants to the mezzanine funding investors following the expiration of 0.5 million outstanding warrants. The new warrants have a 40 pence exercise price and will expire on December 30, 2027.
The loan carries a 20% interest rate and 2% trading fees with an initial six-month term, extendable by mutual agreement. Aterian plc guarantees the performance of Eastinco Ltd under the facility.
Charles Bray, Executive Chairman of Aterian, said the funding "strengthens our working capital" and "unlocks the ability to accelerate growth and broaden our reach to a network of world-class downstream buyers."
The company emphasized that all mineral supplies handled comply with International Tin Supply Chain Initiative standards and the OECD Due Diligence Guidance. Aterian has implemented procedures including on-site inspections, mine-origin verification, and conflict-free certification.
The announcement describes this development as another step in Aterian’s strategy to create a "vertically integrated exploration and trading platform across Africa, focused on responsibly sourced critical minerals."
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