Walkabout Resources Ltd (ASX: WKT) shares are tanking 12% in midday trade after the company announced some changes to its senior management team. After opening today's session at 37.5 cents, the Walkabout share price is currently trading at an intra-day low of 33 cents.
Let's take a closer look at the company's latest news.
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Board and management changes
Walkabout Resources shares are on the slide today after the company announced it will be making changes to its board and senior management positions. According to its release, the proposed management restructuring will position the company for the next phase of its growth.
Walkabout advised that Mr Mike Elliot has been elected as non-executive chair of the board after serving as a non-executive director. The company also announced that Mr Andrew Cunningham has been appointed as chief executive of Walkabout.
Mr Allan Mulligan will be stepping down from the board and will assume the new role of chief operating officer. As a result of Mr Mulligan's exit, Walkabout will be looking to appoint two additional non-executive directors once suitable candidates are shortlisted.
Walkabout highlighted that the recently acquired debt funding for its Lindi Jumbo graphite project in Tanzania prompted the management restructure.
More on the Walkabout share price
Walkabout is an aspiring graphite developer with its flagship Lindi Jumbo Graphite project located in south-east Tanzania. The company holds 100% of the mining licence for the project and aims to take advantage of forecast market demand for graphite products.
The Walkabout share price has surged by more than 80% over the past 2 weeks. The ballistic price action was fuelled by the company's announcement it had secured a US$20 million finance facility for its Lindi Jumbo project.
Funding was facilitated by Tanzania's CRDB Bank and represents a major milestone for the company. Walkabout estimates that capital expenditure for the project is around $US32 million, with the secured debt facility meeting more than 60% of the cost.
According to Walkabout, repayment terms include an 8% per annum interest rate with repayments to be made in quarterly instalments over 42 months following a 12-month grace period.
