Corcel plc said its investor Extractions Premium & Mining Ltd (EXT), which currently holds 24.37% of the company’s shares, has entered into a call option agreement.
Under the agreement’s terms EXT has the right, from 1 March to 1 June 2024, to purchase up to 99,000,000 ordinary shares of the company from Richard Jennings.
The price of £0.012 per share represents a 37% premium to the most recent closing price of the company’s shares.
The number of ordinary shares on offer represents 5.58% of the ordinary shares currently in issue.
Corcel said that the option contained an auto-exercise function, such that it would be deemed to have been exercised if the shares traded over £0.015 as measured on a VWAP basis for five consecutive trading days and in an aggregate minimum volume of 20,000,000 shares.
EXT is 45% owned by Corcel executive chairman Antoine Karam who will indirectly hold 194,649,761 shares.