Tlou Energy Limited says its Non-Renounceable Entitlement Offer announced on 6 June 2018 has closed with applications from eligible shareholders and the underwriter/sub-underwriters totaling approximately A$3.7 million (before costs) through the issue of 37,161,428 fully paid shares in the company. Tlou’s brokers in the UK and Australia have placed all shares not subscribed for under the Entitlement Offer totaling 17,750,332 shares, raising approximately A$1.8 million (the “Shortfall Placing”).
The Company’s Managing Director, Tony Gilby said “The Entitlement Offer and the placement of shares not subscribed for under the offer have raised approximately A$5.5 million which, along with the A$2.5 million raised in the placement in June 2018 leaves Tlou in a strong financial position with a projected cash balance of approximately A$12.4 million. Tlou plans to drill up to three new production pods this year from the proceeds of the equity raisings. The Company wishes to thank existing shareholders and new investors for their strong support of the Company’s future production pod drilling program and funding requirements.”
Under the Entitlement Offer, existing eligible shareholders were invited to subscribe for 1 Offer Share for every 6 ordinary shares held on the record date at the offer price of A$0.10 (£0.0575) per Offer Share to raise approximately A$5.5 million through the issue of up to 54,911,760 Offer Shares. The Entitlement Offer closed on Friday, 6 July 2018.
Eligible shareholders who subscribed for their full entitlement under the Offer were invited to subscribe for Offer Shares in excess of their entitlement (Excess Shares) to the extent there was a shortfall between the total number of Offer Shares applied for and the maximum number of Offer Shares offered under the Offer (Excess Application Facility).
Applications for entitlements and Excess Shares were received from eligible shareholders totaling ~A$2.33 million with a further ~A$1.37 million of applications to be received from the underwriter/sub-underwriters in accordance with the terms of the underwriting agreement. In total, applications for ~A$3.7 million have been received under the Entitlement Offer, leaving approximately A$1.8 million which has been placed by the Company’s brokers to institutions and sophisticated investors.
It is the responsibility of applicants under the Entitlement Offer to confirm the number of Offer Shares allocated to them prior to trading in Offer Shares. Applicants who sell Offer Shares before they receive notice of the number of Offer Shares allocated to them, do so at their own risk. Application will be made for admission of the Offer Shares and the Shortfall Shares to trading on ASX and AIM, with admission to trading on AIM expected to occur at 8.00 a.m. on Monday 16 July 2018 (London time) and ASX quotation on Friday 13 July 2018.
Following Admission of the Offer Shares and the Shortfall Shares, the total number of voting rights of the Company’s ordinary shares will be 409,136,035. This figure of 409,136,035 ordinary shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA’s Disclosure Guidance and Transparency Rules.
The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.