Bundaberg BioHub Secures Construction Funding

Highlights

• Bundaberg BioHub, which owes LPE circa $6.1m ($5m capital works fund plus capitalised accrued interest and other costs), has secured construction funding to develop the BioHub that delivers a pathway towards fully repaying the Total Debt (defined below) during H1 2024

• Bundaberg BioHub has prepaid $230k to LPE, which represents interest for Q1 2024, calculated at 15% per annum on the $6.1m Total Debt

• Repayment of the Total Debt has been extended until 28 June 2024, with interest payments due at the end of April and May 2024 (interest for Q1 2024 has been prepaid)

• In the interim, construction work on the BioHub is set to commence shortly, and such works are expected to improve the value of the project towards the “as if complete” valuation of $30m

LPE Chairman Justin Pettett commented: “The Board has taken a flexible and pragmatic approach towards working with Bundaberg BioHub in order to secure a realistic pathway to ensure the $6.1m Total Debt is fully repaid together with the 15% annualised interest rate. With construction funding already secured for Bundaberg BioHub, coupled with Q1 2024’s interest pre-payment, the Board is optimistic that it will be fully repaid by mid-2024.”