Trade finance facilities with HSBC and Absa Bank
Tharisa plc has enhanced its trade finance facilities with The Hongkong and Shanghai Banking Corporation Limited and Absa Bank Limited, securing new unsecured, revolving facilities totaling US$45 million, with an additional US$15 million accordion option. These improved facilities, which replace more onerous arrangements, will provide greater flexibility and improve working capital efficiency for its trading subsidiary, Arxo Resources Limited, which traded approximately 1.5 million tonnes of chrome concentrates in the financial year ended 30 September 2025. The company views these arrangements as strengthening its balance sheet resilience and optimizing cash flows to capitalize on trading opportunities, particularly in the chrome market.
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JSE share code: THA
LSE share code: THS
A2X share code: THA
('Tharisa' or the 'Company' or 'Group')
Tharisa ENHANCES TRADE FINANCE FACILITIES WITH the HONGKONG AND sHANGHAI BANKING CORPORATION LIMITED AND ABSA BANK LIMITED
Tharisa, the mining, metals, and innovation company dual-listed on the Johannesburg and London stock exchanges, is pleased to announce that it has secured new trade finance facilities, from its existing bankers, designed to provide greater flexibility, improve working capital efficiency, and enhance the Group's global trading capabilities.
Arxo Resources Limited, the wholly owned trading subsidiary of Tharisa, which traded circa 1.5 Mt of chrome concentrates in its financial year ended 30 September 2025, has negotiated improved unsecured, revolving trade finance facilities, with The Hongkong and Shanghai Banking Corporation Limited (HSBC) providing US$30m and Absa Bank Limited (acting through its Corporate & Investment Banking division) providing US$15m with an accordion of US$15m. These facilities provide for both pre- and post-shipment finance. The facilities replace existing, more onerous and traditional trade finance facilities. Tharisa's trade facilities are used to optimise trade finance cash flows and position the Company to take advantage of trading opportunities that arise, with a focus on the chrome market.
Michael Jones, CFO of Tharisa, commented: "Securing these enhanced trade finance facilities strengthens our balance sheet resilience and optimises our working capital flows. The additional flexibility allows us to unlock further value in our global marketing and sales activities while supporting our disciplined growth strategy."
The new arrangements are complementary to Tharisa's existing banking relationships and are aligned with the Group's capital allocation priorities, including maintaining a robust liquidity position, supporting the ramp-up of growth initiatives, and continuing to deliver shareholder returns.
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