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Shefa Gems Ltd (SEFA)


Tuesday 28 January, 2020

Shefa Gems Ltd

Convertible Loan Agreement

RNS Number : 1296B
Shefa Gems Ltd
28 January 2020



28 January 2020


Shefa Gems Ltd.


("Shefa Gems" or the "Company")


Convertible Loan Agreement



Shefa Gems (LSE: SEFA), a company focused on advanced exploration and development of multi-gemstone projects in Northern Israel, is pleased to announce that it has entered into a convertible loan agreement over the provision of US$350,000 (approximately £268,000) (the "Agreement") with a  new shareholder of the Company ("the Lender") for working capital purposes and to fund the continued development of the Company.


Terms of the Loan

Pursuant to the Agreement, the Lender has agreed to provide a loan for US$350,000 (approximately £268,000) (the "Loan").

As was agreed with the lender the Loan, together with rolled up interest at 5%, is convertible into ordinary shares of the Company at a share price of 5 pence per share at any time until 31 March 2020.  The Loan will be non-transferable. However, the lender can choose, at their sole discretion, to delay conversion to any time up until the end of March 2021.

Following conversion, the Company will grant the Lender one unlisted warrant for every share received on conversion, exercisable for a period of 24 months from the date of the conversion, at a price of 10 pence per warrant.  In the event that the Company's share price during the period 24 months after conversion, does not at any time reach 10 pence per share, the Lender will receive additional shares after 24 months in such an amount as to make the total number of shares issued to the Lender have a value, based on the market price at that time, of £536,000. 


Michael Rosenberg, OBE, Chairman of Shefa Gems, said: "We are pleased to receive the support of a new valued shareholder. The additional cash resources will support the Company's working capital purposes, in addition to supporting the development of our Project in the Kishon Mid-Reach area."



- Ends -




Shefa Gems Ltd

Michael Rosenberg, OBE - Chairman

+44 20 7938 4026

VSA Capital Limited - Financial Adviser

Andrew Raca

+44 20 3005 5000

SI Capital Limited - Broker and Strategic Adviser

Nick Emerson and Jon Levinson

+44 20 3871 4038 / +44 1483 413500

Luther Pendragon

Harry Chathli, Alexis Gore, Rachel So

+44 20 7618 9100


Notes to Editors


About Shefa Gems Ltd


Shefa Gems Ltd (LSE: SEFA) is a multi-commodity explorer of precious stones operating in Northern Israel. Exploration activity is managed by professionally skilled and technically competent personnel and is accompanied by an international team of geological experts with decades of proven experience in their fields.


All exploration activities are conducted under international standards and the internationally recognised SAMREC 2016 Code. Furthermore, its four (4) permits, granted to it by the Commissioner of Mines at the Ministry of Energy, Natural Resources Administration, Israel, extend over an area of approximately 600,000 Dunam (60,000 hectares) that includes the Kishon River, the volcanic bodies on Mount Carmel, the Zevulun and Yizre'el valleys and their margins - Menashe Hills, Tivon-Alonim Hills, and Nazareth range. The Company upholds environmental values and protects the nature in the areas where it operates, cooperating fully with all authorities.  


Alongside its exploration activities, the Company is building on the launch of the "Heaven on Earth" jewellery collection and developing the Company's "Mine to Market" strategy to promote unique jewellery collections utilising Shefa Gems' suite of precious gemstones.


The exclusive "Heaven on Earth" collection is now available to view online on the website of the designer Yossi Harari at:


For further information please visit the website at 


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