06:55 AM EST, 01/13/2025 (MT Newswires) -- i-80 GOLD CORP. ( IAUX ) was at last look down more than 3% in US premarket trade after announcing Monday that it has reached an agreement with certain convertible debenture holders to implement proposed amendments to the terms of its convertible debentures, which are expected to assist in the second phase of the company's recapitalization plan.

According to a statement, a third amendment provides for a new redemption right of the convertible debentures, allowing the company to redeem them for cash at its election at a 104% premium of the outstanding principal, along with accrued interest up to the redemption date.

The company said this amendment provides it with greater flexibility as it works towards the execution of its recapitalization plan. It noted the agreement also included a waiver of an event of default under the Indenture relating to a forward-looking minimum cash requirement included in the Orion Gold Prepay and Silver Stream agreements, which was waived and amended by Orion on December 31, 2024, in accordance with the terms described in the company press release of that day. The Committee's waiver is conditioned upon amendments described being implemented by February 28 , 2025.

Monday's statement noted the amendments to the Indenture remain subject to receipt of the approval of the Committee, the TSX and the NYSE American, as applicable. Additionally, pursuant to the terms of the Indenture, a supplemental indenture to the Indenture will be entered into by the company and the Trustee to reflect the proposed amendments.

"We are pleased to announce these amendments with debenture holders' representatives. This agreement is a win-win for both parties, as debenture holders were seeking adjustments to the existing conversion option and security position and i-80 Gold ( IAUX ) was pursuing greater flexibility in executing on its recapitalization plan. On December 31, 2024 , i-80 Gold ( IAUX ) announced the completion of the first phase of its recapitalization plan with the deferral of its gold and silver deliveries. Today's announcement marks the first step in the second phase of our plan to recapitalize the company and unlock the value of our high-grade gold projects in Nevada," said Ryan Snow, CFO of i-80 Gold ( IAUX ).