LONDON (ShareCast) - (ShareCast News) - Investment company Limitless Earth announced on Tuesday that it made a further investment in Saxa Gres, a private Italian company focussed on recycling industrial waste into the production of porcelain stoneware tiles.
The AIM-traded firm had invested €0.35m in December 2015, acquiring 350 SaxaBond notes each of which had a nominal value of €1,000 and a coupon of 10%.

It said the notes were accompanied by options to acquire 1.655% of the equity share capital of Saxa Gres, each option having an exercise price of €1.

"Limitless has now increased its investment in Saxa Gres by acquiring a further 267 notes for a value of €0.27m," the Limitless board said in a statement.

"These notes are also accompanied by options to acquire shares in Saxa Gres, in this case to acquire another 1.333% of its equity share capital with each option having an exercise price of €1.

"In total, Limitless now holds options to acquire approximately 2.5% of the equity share capital of Saxa Gres at an exercise price of €1 per share."

The board confirmed the notes carried the same terms as the company's initial investment with a coupon of 10%, and a maturity period of two years.

Terms of the repayment allowed for repayment to occur from six months from the date of investment, and quarterly thereafter.

The options to subscribe for equity at an exercise price of €1 per share remained at the company's discretion anytime until 15 December 2018.

At the time of the initial investment, the directors of Saxa Gres valued the business in excess of €30m.

"Because we are satisfied that Saxa Gres is progressing in line with the initial business plan, we have decided to increase Limitless' investment in the secondary market by acquiring additional notes and, as well as receiving the favorable 10 % coupon, we also received further options to convert in Saxa Gres shares at EUR 1 in a company that is now in full production and hiring status," commented Limitless Earth director Guido Contesso.

"The investment is in a company that in our opinion has great potential."

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