Predator Oil & Gas Holdings plc has raised £2 million before expenses from a conditional placing.
The company placed 15.5 million new ordinary shares of no par value, and 20,863,636 existing ordinary shares of no par value in the company transferred by chief executive officer Paul Griffiths, each at a placing price of 5.5 pence.
Predator said that the placing utilised the company’s available headroom shares as of 31 March 2023 under the Financial Conduct Authority (FCA) restrictions for companies on the main market.
ADMISSION
The company has insufficient headroom to issue and admit all 36,363,636 placing shares without an FCA approved prospectus.
Predator instead proposes to issue and admit 15.5m new ordinary shares (up to its existing headroom limit as at 31 March 2023), and Mr Griffiths will make up the shortfall through a loan of 20,863,636 existing ordinary shares held by him to settle the placing.
Transfer of the shares involves no payment but interest on the loan will accrue at a rate of 4% above SONIA* of the sum lent of £1,147,500, which is the market value of 20,863,636 shares at the placing price.
The default rate of interest for any sum not repaid when due is 12% per annum.
USES
Predator intends to spend £2 million on civil engineering, site build and drilling 1,500 metres for MOU-3 as well as for general working capital for the Guercif licence in Morocco.
Following admission, the company will have in issue 401,294,903 ordinary shares of no par value, each with one vote per share and none of which are held in treasury.
*Sterling Overnight Index Average