| Thompson Creek Repurchases $34M of Senior Secured Notes - Analyst Blog | |
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Thompson Creek Metals Company Inc. TC said that it repurchased and retired, during the second quarter of 2015, $34.2 million principal amount of its 9.75% senior secured notes due Dec 1, 2017 at an average purchase price of 1.07% of the notes' par value.
Total cash utilized was about $37.8 million, which included the payment of accrued interest to the repurchase date of $1.2 million. The company will save interest of about $0.8 million from this repurchase to the Dec 2015 call date. This represents a net average purchase price of 1.024% of par compared to the call price of 1.04875% of par, with future interest savings to the Dec 2017 maturity date of $8.2 million.
Thompson Creek aims to reduce its debt over time to roughly three times earnings before income taxes, depreciation and amortization (EBITDA) for a 12-month period. Since the completion of the Mt Milligan Mine to Jun 30, 2015, Thompson Creek has repaid and retired 12% of its debt balance, or about $121 million, including the net repayments of its capital lease obligations.
These bond repurchases will enable the company to take advantage of opportunities in the financial markets to proactively reinforce its balance sheet.
Thompson Creek currently carries a Zacks Rank #3 (Hold).
Better-ranked stocks in the mining space include Sandstorm Gold Ltd. SAND, Vista Gold Corp. VGZ and Newmont Mining Corp. NEM. All of these stocks carry a Zacks Rank #2 (Buy).
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Thompson Creek Metals Co Inc.
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PRODUCER |
CODE : TCM.TO |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Thompson Creek is a gold and copper producing company based in Canada. Thompson Creek produces gold, copper, molybdenum in Canada, develops copper, gold and molybdenum in Canada, and holds various exploration projects in Canada. Its main assets in production are ENDAKO and THOMPSON CREEK MINE in Canada, its main assets in development are DAVIDSON (YORKE-HARDY) and MOUNT MILLIGAN in Canada and its main exploration properties are MAZE LAKE, BERG and HOWARDS PASS in Canada. Thompson Creek is listed in Canada and in Germany. Its market capitalisation is CA$ 149.3 millions as of today (US$ 111.4 millions, € 102.3 millions). Its stock quote reached its highest recent level on July 15, 2011 at CA$ 9.88, and its lowest recent point on January 22, 2016 at CA$ 0.16. Thompson Creek has 222 780 000 shares outstanding. |