LONDON - Pennpetro Energy PLC (LSE: PPP) has announced its plan to place up to 8 million shares through a managed tender process by Peterhouse Capital. The auction will open today and is set to close at 5 pm on January 7, 2025. This move follows a recent capital raise of £120,000 on November 27, 2024, where shares were issued at a premium.
The tender process, labeled "The Placing," is targeting sophisticated and professional investors, setting a minimum bid price of 9.0p per share. Retail investors are also invited to participate through their agents or brokers. The shares will only be admitted to trading after their suspension is lifted.
Proceeds from the share placement are earmarked for meeting certain financial obligations under the Globalvision Agreement, settling historical external debts as disclosed on December 20, 2024, and providing working capital for the company's relisting. The funds will not be used for director loan repayments or preferential distributions to directors.
The company has addressed potential conflict of interest concerns regarding Petroquest Energy Limited, a secured lender managed by an FCA-regulated asset manager. Decisions concerning Petroquest's interests are made independently of the company's directors and shareholders.
The Placing will be conducted as a Dutch Auction, where bids above the final determined placing price will be accepted at that price, and those below will not be considered. Interested parties must submit their bids through their stockbroker to Peterhouse.
Pennpetro reserves the right to reject any offers and may alter the auction terms. This announcement is based on a press release statement and contains information that is considered inside knowledge under EU and UK market abuse regulations.
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