Niocorp Developments Ltd (NB)

[tedro84]

Lind does not count on the warrants for their profit.

The Lind debt has an interest rate of 10% (prepaid for two years). Niocorp also paid closing fees to Lind for each tranche.

When Lind converts these for shares (that they clearly sell immediately) they convert at a 15% discount to the five day price average.

So in summary, Lind converts at an APR 10% higher than what they loaned at a stock price 15% less than the rest of the market. The only way they lose money is if the share price drops ~25% between the time they convert and the time they sell. They make plenty of money on these terms without the warrants.

https://www.juniorminingnetwork.com/junior-miner-news/press-releases/391-tsx/nb/14712-niocorp-developments-ltd-completes-convertible-security-funding-agreement-for-institutional-investment-of-up-to-us-10-5-million.html