Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

ASF Group Locks In Further A$2M Loan Facility From Star Diamond Developments

ASF Group (ASX: AFA) has secured a further convertible loan facility for an additional $2 million from Star Diamond Developments.

The additional loan facility was negotiated under a loan agreement previously entered into with Star Diamond Developments earlier this year, with the new funds taking the total facility to $10 million.

So far only $1 million of the additional $2 million facility has been drawn down.

ASF Group currently has a $4.9 million off-market takeover offer on the table for copper and gold explorer ActivEX, in which it currently holds a 19.9% interest.

The acquisition of ActivEX would provide ASF with exposure to an extensive portfolio of prospective copper and gold projects in Queensland, as well as an advanced potash project in Western Australia.

ASF Group director Geoff Baker told Proactive Investors recently ActivEX has some significant copper and gold assets that require more focused attention to accelerate their development.

"Significant funds need to be committed to achieve these goals and ASF can assist plus introduce potential partners and investors to enable the full value to be enhanced within ActivEX."

ASF held around $2.1 million in cash at the end of the March 2013 quarter.

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX "Small and Mid-cap" stocks with distribution in Australia, UK, North America and Hong Kong / China.