27th May 2009 07:00
27 May 2009
Gasol plc
("Gasol" or "the Company")
Gasol secures £1m funding from AfGas and Afren
Gasol (AIM: "GAS") is pleased to announce that the Company has successfully raised
£1 million through a placing of shares with two of its principal shareholders: African
Gas Development Corporation Limited ("AfGas") and Afren plc ("Afren").
Gasol has entered into agreements with AfGas and Afren on 26 May 2009 whereby the two
parties will together invest £1 million (AfGas, 75% and Afren 25% of committed funds) in
Gasol. The company intends to use the proceeds to fund its general business development
activities and working capital requirements.
Afren subscribed to the issued shares fully paid on the 26th May 2009. AfGas irrevocably
committed to subscribe for its part of the financing in full on 26th May 2009, but the shares
will be issued in three equal tranches on 27th May 2009, 30th June 2009 and 31st July 2009.
Gasol will in total issue 28,169,016 ordinary shares at a price of 3.55 pence, which is equal
to the 30-day-volume-weighted-average closing price of Gasol ordinary shares prior to 26
May 2009.
As part of the financing, Afgas and Afren will receive 30,000,000 and 10,000,000 warrants
into Gasol's ordinary shares, respectively, exercisable for a period of two years from the
issue date at an exercise price of 4.375 pence each, representing a 25% premium to the
closing price on 22 May 2009.
The placing shares will, when issued, rank pari passu in all respects with the existing
ordinary shares of Gasol. An application has been made to AIM for 14,084,508 new ordinary
shares to be admitted and it is expected that trading will commence on 1 June 2009. The
Company's total and issued share capital following the Placing will be 1,043,418,238 shares.
An application for admission for the remaining shares (14,084,508) to be issued to AfGas
pursuant to the financing will be made in due course.
The investment from AfGas and Afren is considered a related party transaction under the
AIM Rules for Companies. The Directors of Gasol, excluding Mr Shahenshah, Chief
Executive of Afren, who is a Non-Executive Director of Gasol, having consulted with Jefferies
International Limited, the Company's Nominated Adviser, consider the terms of the
transaction to be fair and reasonable insofar as its shareholders are concerned.
Soumo Bose, CEO Gasol, commented:
"We are pleased to receive this financing from our principal shareholders - AfGas and Afren;
this support is a testament of their confidence in Gasol's ability to deliver our strategy and to
progress the development of multiple gas monetization projects in Africa."
Enquiries
Gasol plc
Tel: 020 7290 3300
Soumo Bose, Chief Executive Officer
Caroline Houry, Investor Relations
Pelham PR
Tel: 020 7337 1500
Alex Walters
Francesca Tuckett
Jefferies International Limited
Tel: 020 7029 8000
Jack Pryde
Oliver Griffiths
About Gasol
Gasol's strategy is to identify and develop commercially attractive opportunities in the gas
sector, with initial focus on liquefied natural gas (LNG), sourced from Africa's Gulf of Guinea
region.
Through the creation of a substantial value chain via a series of partnerships involving gas
gathering, liquefaction and the shipment and regasification of LNG into high-value markets
worldwide, Gasol aims to become the premier Africa-focused gas independent.
Gasol works in partnership with governments, energy majors, utilities and independents in
Africa, the USA and Europe. Gasol is Afren's exclusive downstream liquefaction partner in
developing an LNG monetisation strategy.
Further information is available from the Company's website: www.gasolplc.com
Related Shares:
AFR.L