9th Oct 2015 17:41
LONDON (Alliance News) - Enegi Oil PLC on Friday said it is seeking to change its name to Nu-Oil and Gas PLC, and set out proposals designed to give it the flexibility in the event that it decides to raise capital in the future.
Shareholders will vote on the proposed changes at a meeting in Manchester, England scheduled for October 26.
If approved, the resolutions would enable the reorganisation of the company's shares, meaning that the existing shares would be sub-divided into one new share with a nominal value of 0.1 pence and one deferred share with a nominal value of 0.9 pence.
Under English law, a company is prohibited from issuing shares at a price less than their nominal value. Currently, Enegi's shares trade below their nominal value. It currently has 189.8 million shares of one pence each in issue. The shares traded at 0.6 pence at the close on Wednesday.
The new shares would have a lower nominal value than the existing shares, paving the way for the company to effect transactions or to raise money at a lower price in the future.
In addition, the company wants the authority to issue and allot securities with a nominal value of up to GBP1.8 million for cash - equivalent to GBP180,000 if the resolution on the share reorganisation is passed.
By Samuel Agini; [email protected]; @samuelagini
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