16th Oct 2014 17:47
LONDON (Alliance News) - Maple Energy PLC Thursday said it has had an offer under which it would in effect dispose of a "substantial part" of its equity stake in its principal trading subsidiaries to Graña y Montero SAA and Alcogroup SA in return for investment at subsidiary level, which it expects to provide enough capital for the ongoing operations its ethanol business.
In a statement, Maple Energy, which has been seeking equity financing for its equity business for some time, said the investors are to pay an initial USD4.0 million to acquire 40% of The Maple Companies Ltd, the subsidiary which holds the company's ethanol production and hydrocarbons operations.
The investors will commit to make a further USD13 million equity investment in The Maple Companies, according to Maple Energy, as part of a capital increase that will dilute Maple Energy's shareholding in The Maple Companies.
Graña y Montero Petrolera SA, a subsidiary of Graña y Montero SAA, will pay USD31 million to acquire Maple Gas Corp del Peru SRL, which is a subsidiary of The Maple Companies dedicated to the hydrocarbon production, refining and marketing operations. The proceeds from the sale and from the planned equity injection will be paid to The Maple Companies, according to Maple Energy, which will then transfer the funds to the ethanol business operating subsidiaries.
Maple Energy currently has a 95.4% interest in The Maple Companies. If the deal goes through, that stake would be reduced to just 24.1% and The Maple Companies would own the ethanol business as its sole interest. G&M and Alcogroup SA would hold stakes of 30.4% and 43.5% in The Maple Companies.
If concluded, the proposed deal is "likely to constitute a related party transaction" under AIM rules, because Michel Meeus is a director of both the Maple Energy and Alcogroup SA, one of the investors.
In addition, the deal is likely to constitute a so-called fundamental change of business under AIM rules. Maple Energy said it "has reviewed and is agreeable" to the terms of the offer and is "diligently progressing the actions required to finalise the detailed terms" of the proposed deal.
The offer requires approval from a number of parties, including Maple Energy's senior lenders and Fondo de Inversión en Infraestructura, Servicios Públicos y Recursos Naturales.
Maple Energy said there can be no guarantee that the deal will be concluded on terms acceptable to it, or at all.
Maple Energy shares Thursday closed up 0.2% at 2.88 pence.
By Samuel Agini; [email protected]; @samuelagini
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