11th May 2020 12:03
(Alliance News) - Volga Gas PLC on Monday said a company consultant exchanged social media messages with a scam artist pretending to be a non-executive director at the exploration and production firm.
The Whatsapp conversation, which featured the consultant with "access to confidential information", occurred on Thursday.
Following the conversation, where information about a formal sales process was exchanged, Volga's share price "rose significantly".
Volga Gas eventually closed 29% higher on Thursday, with London markets closed on Friday due to VE day.
Shares were 3.4% higher at 27.40 pence each on Monday afternoon, the first day of trading since the long weekend.
Volga Gas said: "After the market closed, the consultant became aware that the WhatsApp message exchange had not in fact been with the non-executive director, but with a person or persons unknown.
"The company has implemented additional protocols covering both internal and external communications to prevent similar occurrences in the future and will co-operate fully with any subsequent investigation by regulatory authorities in the UK."
On its formal sales process, Volga said it "looks forward to engaging with all potential offerors in a constructive and positive manner".
Volga added: "Multiple parties have, following the provision by them of non-binding expressions of interest, agreed to participate in the FSP and they have been invited to proceed further by signing a confidentiality agreement. Participation in the FSP includes the provision of confidential due diligence materials and access to Volga Gas management.
"There can be no certainty that any offers will be made as a result of the FSP, that any sale or other transaction will be concluded, nor as to the terms on which any offer or other transaction may be made."
By Eric Cunha; [email protected]
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