Yamana Gold applies $385 million to paying down revolving facility

By Angela McDaniels

Tacoma, Wash., July 11 – Yamana Gold Inc. used $385 million of proceeds from an asset sale to repay outstanding debt under its revolving credit facility, according to a company news release.

The company received an initial upfront cash consideration of $800 million from the completed sale of its Chapada mine to Lundin Mining Corp.

The remaining $415 million in upfront cash consideration will be used to fund a tender offer for six series of senior notes.

The reduction in net debt lowered Yamana’s ratio of net debt to EBITDA to 1.5x. The company’s target is to reach 1x by the end of 2021.

Yamana is a Toronto-based gold, silver and copper producer.

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