Theta Gold Mines Limited (ASX: TGM), an advanced gold development company focused on unlocking value from its extensive suite of projects in South Africa’s renowned Eastern Transvaal goldfields, has announced a significant step in its financial management. The company, whose flagship TGME Gold Project offers near-surface and shallow underground ore bodies with compelling cost advantages, confirmed it will convert a long-standing unsecured loan into equity.
The agreement involves the issuance of 32,800,000 fully paid ordinary shares at a deemed price of A$0.18 per share. This transaction aims to provide full and final satisfaction of a historical unsecured loan. The original loan facility was advanced by Australian Private Capital Investment Group (International) Ltd, and the shares will now be issued to Sadiva (Pty) Ltd, which previously acquired the loan from Tianjin Hanhong Equity Investments Fund Management Co., Ltd.
This strategic move effectively transforms the historical debt into equity, thereby strengthening the company’s balance sheet. The shares are not subject to shareholder approval and are anticipated to be issued on 7 August 2026, the same day as the announcement. The issuance will draw upon the company’s currently available 7.1 Capacity, representing its 15% placement capacity. The unsecured loan had a carrying book balance of US$11,593,000, as previously disclosed in Theta Gold Mines’ Half Year Financial Statement for 31 December 2025.
