PAN AFRICAN RESOURCES PLC - New revolving credit facility becomes effective

New revolving credit facility becomes effective

Pan African Resources PLC
("Pan African" or “the Company" or “the Group”)
(Incorporated and registered in England and Wales under the UK Companies Act 2006 with registration
number 3937466 on 25 February 2000)
Share code on AIM: PAF
Share code on JSE: PAN
ISIN: GB0004300496
ADR ticker code: PAFRY


                       NEW REVOLVING CREDIT FACILITY BECOMES EFFECTIVE

Pan African is pleased to advise shareholders that the Group’s new ZAR 1 billion (One billion Rand) revolving
credit facility became effective on 25 November 2021 (“New RCF”). The New RCF consolidates the previous
revolving credit facility (“Previous RCF”), which expires in June 2022, and the existing Elikhulu term loan
(“Term Loan”). The New RCF is provided by Rand Merchant Bank and Nedbank, has a three-year term and
bears interest at a reduced margin of 275 basis points over the applicable JIBAR rate, compared to the 380
and 330 basis points over JIBAR, applicable to the Term Loan and Previous RCF, respectively.

The available capacity on the New RCF reduces to ZAR 850 million and ZAR 700 million on 31 December
2022 and 31 December 2023, respectively, with a final maturity date of 30 June 2024.

The New RCF’s covenant compliance is measured semi-annually for a rolling 12-month period, as follows:

    •     Debt service cover ratio must be greater than 1.3 times;
    •     Interest cover ratio must be greater than 4 times;
    •     Net debt to equity ratio must be less than 1:1; and
    •     Net debt to EBITDA ratio must be less than 2:1.



Pan African’s Chief Executive Officer, Cobus Loots, commented:

“Even though the Group expects to be materially debt-free during the next year, the New RCF provides the
Group with access to a flexible and cost effective facility over the next three years, should it be required for
growth or contingency purposes.”


Rosebank
30 November 2021

For further information on Pan African, please visit the Company's website at
www.panafricanresources.com



Contact information


Corporate Office                                 Registered Office

The Firs Office Building                         Suite 31

2nd Floor, Office 204                            Second Floor

Cnr. Cradock and Biermann Avenues                107 Cheapside

Rosebank, Johannesburg                           London

South Africa                                     EC2V 6DN

Office: + 27 (0)11 243 2900                      United Kingdom

info@paf.co.za                                   Office: + 44 (0)20 7796 8644


Cobus Loots                                      Deon Louw

Pan African Resources PLC                        Pan African Resources PLC

Chief Executive Officer                          Financial Director

Office: + 27 (0)11 243 2900                      Office: + 27 (0)11 243 2900

Phil Dexter/Jane Kirton                          Ross Allister/David McKeown

St James's Corporate Services Limited            Peel Hunt LLP

Company Secretary                                Nominated Adviser and Joint Broker

Office: + 44 (0)20 7796 8644                     Office: +44 (0)20 7418 8900

Ciska Kloppers                                   Thomas Rider/Nick Macann

Questco Corporate Advisory Proprietary Limited   BMO Capital Markets Limited

JSE Sponsor                                      Joint Broker

Office: + 27 (0)11 011 9200                      Office: +44 (0)20 7236 1010

Hethen Hira                                      Website: www.panafricanresources.com
Pan African Resources PLC

Head: Investor Relations
Tel: + 27 (0)11 243 2900
E-mail: hhira@paf.co.za

Date: 30-11-2021 08:57:00
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