Stornoway Diamond Corporation (TSX:SWY) has closed its previously announced financing transactions with Orion Mine Finance, Diaquem Inc. and Ressources Québec, both 100 percent owned subsidiaries of Investissement Québec, and with the Caisse de dépôt et placement du Québec. These financing transactions are meant to provide a comprehensive funding package for the construction of the Renard Diamond Project.
As quoted in the press release:
In total C$946 million(1) has been funded, or committed for funding, through a combination of senior and subordinated debt facilities, equity issuances, an equipment financing facility with Caterpillar Financial, and the forward sale of diamonds. Taken together, these transactions represent the largest ever project financing package for a publicly listed diamond company. Concurrent with the closing announced today, approximately C$464 million1 in aggregate gross proceeds from the public and private offerings of subscription receipts and the private offering of convertible debentures has been released to the Corporation (subject to the payment of certain transaction costs) to allow the immediate commencement of project construction.