Copper 360 restructures ZAR267.6m debt to bolster finances

Copper 360 Limited (JSE:CPR) announced a restructuring of its unsecured short-term debt obligations, totaling R267.6 million, into long-term debt with more favorable terms. The restructuring includes an amendment to current interest rates, replacing them with a variable rate linked to the London Metal Exchange (LME) copper price. The new "Replacement Rate" will not be less than the South African prime rate and will include a variable component indexed to the LME copper price up to USD15,000 per metric tonne. Based on the current LME price of USD9,136 per metric tonne, the rate would be 11% per annum, up to a maximum of 17.4% per annum. In addition, the repayment dates have been extended (R172.3 million due now, R15 million due 31 July 2025, and R80.3 million due 28 February 2026). Lenders will convert the loans into corporate bonds, listed by 1 October 2025. The company anticipates this will result in an immediate reduction in interest burden and better alignment of debt obligations with revenue.