Jaguar Mining (JAG), struggling with debt, arranges a $30M standby credit facility, but TD...

|About: Jaguar Mining Inc. (JAGGF)|By:, SA News Editor

Jaguar Mining (JAG), struggling with debt, arranges a $30M standby credit facility, but TD Securities thinks the terms look punitive. TD estimates JAG's effective interest rate is nearly 16%, and interest and upfront payments in the first year amount to $5.3M. The deal does provide breathing room, but it's just a short-term patch; JAG still needs to address its balance sheet with a “larger solution” in the near future.