Great Western Minerals misses C$4.5 million convertible bond payment

By Caroline Salls

Pittsburgh, April 8 – Great Western Minerals Group Ltd. did not make a C$4.5 million interest payment due April 7 on its $90 million of 8% secured convertible bonds due 2017, according to a news release.

Under the trust deed governing the bonds, the company has 14 calendar days to make the interest payment.

Great Western said discussions with a steering committee of convertible bondholders regarding a potential restructuring of the bonds have yet to result in a binding agreement.

According to the release, the company continues to explore strategic alternatives to a consensual restructuring, which may include the launch of a sale of, or investment solicitation process for, its assets and business and/or the filing of proceedings under applicable restructuring legislation.

Based in Saskatoon, Sask., Great Western Minerals is an integrated rare earths processor.

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