Rare earth producer Lynas suffers from declining prices

01.08.2014 (www.4investors.de) – To more nearly 18% went there today in Australia with the share of Rare earth-Producer Lynas (WKN 871899 / ASX LYC) down. Investors punished from the paper, after the company reported lower prices for its products and since you still have questions regarding the debt structure.

Lynas needs to 30. September a debt payment in the amount of 35 My. USD operate and the market is therefore speculated, whether Lynas will have enough cash, continue about its business. The company itself stated, that they were working with Nomura and his other investors to a possible restructuring of the existing financing facilities and that substantial progress had been made in this regard.

In May, the company had approximately 40 My. Added dollars on the market, to cover its short-term working capital requirements. Man auch Zudem Nomura Australia's engagiert, to arrange the purchase and adaptation of a credit facility with the Japanese companies Sojitz and JOGMEC.

Analysts had predicted last year, that Lynas Although a due payment in January of 10 My. Can use USD at Sojitz would, would necessitate further repayments but a refinancing of the debt or a capital raising.

The German bank had predicted, that the company until mid- 2015 140 My. USD would be missing, if you prefer the planned repayments to Sojitz considered. Lynas had declared in March, that you'll need given the repayments on the credit facilities and the planned increase in production additional funds, to have the necessary liquidity headroom.

Despite the discussions about the debt situation, the company continues to work, to increase production at its processing plant in Malaysia. Lynas was able to report the fourth consecutive quarter of rising production and sales. In the second quarter were 1.882 Produces tons, 73% more than in the previous quarter. Were delivered 1.630 Tons, representing an increase of 117% compared to first quarter 2014 means.

How Lynas declared, stopped production of the June quarter 47,5% there Production des Fiskaljahres 2014 give, while deliveries 54,2% of the total annual volume accounted. The production in the 12 Months to 30. Juni lag so bei 3.965 Tons, while 3.008 Tons were delivered.

However, the achieved selling price for the products of Lynas in the quarter fell by more than 4 USD to 18,25 USD per kilogram back.

Lynas had appointed a new CEO during the quarter, Noyrez after Eric had gone surprisingly in June. He was replaced by Amanda Lacaze, which was added in January to the Board of the company. Lynas also shared with, that they would relocate the headquarters of the company to Malaysia, what the overheads by around 50% will reduce.

Those:http://www.4investors.de/php_fe/indexgoldinvest.php?section = goldinvest&ID = 2515

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