Norton Rose Fulbright advises Appian Capital Advisory on credit financing with Western Potash

Global Press release - Business May 2022

Global law firm Norton Rose Fulbright has advised Appian Capital Advisory LLP (“Appian”) on a C$85,000,000 term loan facility financing transaction with Western Potash Corp. (“Western Potash”), a wholly owned subsidiary of Western Resources Corp. (“Western Resources”).

Appian is a UK-based investment advisor to private equity funds that invest solely in mining and mining-related companies around the world. Proceeds of the transaction will enable Western Potash to complete the remaining construction and development of the Milestone Phase I Project, its potash project in Saskatchewan, Canada.

The multi-tiered credit transaction includes:

  • six-year term loan facility of up to C$85,000,000, at an interest rate of 12.5% per annum
  • 1.5% royalty to Appian on the gross revenue of the Milestone Phase I Project
  • warrants for Appian to acquire up to 9.9% shares in Western Resources after exercise.

Martin McCann, partner and global head of mining at Norton Rose Fulbright, commented: “This transaction is another major achievement for the Appian team, who are a long-standing client of Norton Rose Fulbright. With the instability in the world, we have already seen a marked increase in potash mandates. We’re pleased to have leveraged our teams and expertise across London and Canada to support the industry in bringing new resource on board.”

Norton Rose Fulbright’s multi-jurisdictional financing team was led by Martin McCann and included counsel Felicity Brown (London) and partners Geoff Gilbert, Alan Harvie (Environmental), Thomas Collopy, Barry Segal (Tax) and Brigitte LeBlanc-Lapointe (securities) and senior associate Edward Anido (Canada).