Druces advises CMR on significant financing

Druces LLP has successfully advised Critical Mineral Resources PLC on a £2.5 million agreement with Gilini Holdings Ltd

Druces LLP has announced its advisory role to Critical Mineral Resources PLC (“CMR”) regarding a £2.5 million financing agreement with Gilini Holdings Ltd (the “Investor”). This investment is designed to bolster CMR’s ongoing efforts to explore and develop essential metals and minerals in Morocco.

The financing arrangement is structured into multiple tranches, thoughtfully aligned with CMR's strategic development plans. An initial investment of £425,000 has already been received through the issuance of convertible loan notes (“CLNs”), which can be converted into ordinary shares at £0.011 each. Looking ahead, an anticipated investment of approximately £1.3 million is expected in mid-2025, combining a share subscription and a convertible loan that will accrue interest. Further, around £750,000 is projected for early 2026 via another share subscription. However, these plans hinge on final agreements and market conditions.

The additional financing will depend on CMR formalising an agreement regarding one or more development projects in Morocco, specifically targeting copper or manganese. This financing strategy is tailored to support CMR's ambitious growth agenda in Morocco. The funds raised will facilitate project acquisitions, the expansion of the Company’s commodities trading operations, and provide general working capital to further exploration initiatives.

Mark Lamph, Senior Associate within the Capital Markets Team, remarked "We are pleased to have advised CMR on its financing agreement with Gilini Holdings Ltd. We wish CMR the best in its expansion and development plans across Morocco."

Druces' Corporate team played a crucial role throughout this intricate investment agreement. Their extensive experience in corporate finance transactions was instrumental in achieving a successful outcome for all parties involved.