AMER.L Share News (AMER)

(Alliance News) - Amerisur Resources PLC on Tuesday reported a 85% jump in third quarter profit and said that GeoPark Ltd intends to fund its takeover offer for Amerisur via issue of senior notes.

In November 2019, Amerisur agreed a USD242 million, or 19.21 pence per share, cash takeover offer from Latin America-focused oil & gas company GeoPark.

Shares in Cardiff-based Amerisur were up 0.3% at 19.18p each on Tuesday afternoon in London. Amerisur expects the last day of trading in its shares to be January 15, with shares suspended the day after and then cancelled one day later.

Amerisur Resources said that GeoPark intends to offer senior notes in a private placement to buyers with the intention of using the proceeds to finance the cash consideration payable by GeoPark Colombia SAS to Amerisur shareholders.

Turning back to results, the company reported pretax profit of USD5.5 million for the three months to September 30, up sharply from USD2.9 million the year prior. Revenue increased to USD30.6 million from USD28.3 million.

For the nine months to September 30, Amerisur recorded pretax profit of USD9.9 million, down from USD15.5 million in the same period in 2018. Revenue declined year-on-year to USD84.3 million from USD96.3 million.

By Ife Taiwo; ifetaiwo@alliancenews.com

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