17th Jun 2016 07:49
LONDON (Alliance News) - Highlands Natural Resources PLC on Friday said it has been notified that the terms of the disposal of warrants held in the company by Diversion Technologies LLC has been slightly amended, though this will have no impact on Highlands.
Highlands on Wednesday said Diversion Technologies has agreed to sell 30.0 million warrants it holds over Highlands shares to an unnamed investor. Diversion had been granted the warrants as part of the consideration paid by Highlands to acquire a 75% stake in pending patents for DT Ultravert, the re-fracking technology which forms the focus of Highlands' operations.
The warrants are convertible into Highlands shares at 25.00p per share. If the institutional investor takes up its options to acquire the entire holding through exercising the warrants, it would raise GBP7.5 million for Highlands.
On Friday, Highlands said the purchase price payable to Diversion for the first 10 million of the warrants has been reduced to 1.0p each from the 5.0p price announced on Wednesday.
Should the unnamed investor take up the warrant options, however, Highlands would still get GBP7.5 million.
Highlands shares were down 7.0% to 25.11 pence Friday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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