30th Jun 2021 11:06
(Alliance News) - EnQuest PLC on Wednesday announced its intent to raise around GBP36.1 million through a placing and open offer, which will go towards part financing the acquisition of assets in the North Sea's Golden Eagle field.
In early February, EnQuest it will buy Suncor Energy UK Ltd's near 27% stake in the Golden Eagle area, which includes the Golden Eagle, Peregrine and Solitaire fields. It adds roughly five million barrels to EnQuest's net contingent, or 2C, resources.
The company will pay an initial USD325 million for the stake "with additional contingent consideration of up to USD50 million".
The oil & gas firm is look to raise GBP18.0 million through the issue of 94.9 million shares at a price of 19 pence per share through a firm placing. EnQuest will also look to raise GBP18.1 million through the issue of 95.3 million shares at the same price via an open offer.
Under the open offer, qualifying shareholders will have an entitlement of five new shares for every 89 existing shares held.
EnQuest added that shareholders who take up the full entitlement to have 5% dilution, or 10% if none, as a result of the placing.
The issue price of 19 pence reflects an 8.7% discount to EnQuest's closing price on Tuesday of 20.80p.
Shares in EnQuest were down 0.2% at 20.75 pence on Wednesday in London.
JP Morgan Securities PLC is acting as the sole global coordinator, bookrunner and sponsor for the fundraising.
By Dayo Laniyan; [email protected]
Copyright 2021 Alliance News Limited. All Rights Reserved.
Related Shares:
Enquest