(Alliance News) - Bahamas Petroleum Co PLC said Monday that it has established a Bahamian domiciled mutual fund which is now open for receipt of initial subscriptions.
The mutual fund will exclusively hold Bahamas Petroleum shares and is intended "to provide Bahamians with an opportunity to invest in the company's nationally significant project".
The company, which owns four exploration licences in the southern territorial waters of the Bahamas, said initial subscription period will end on February 7, whereby the proceeds received from investor subscriptions will then be utilized for the purchase of ordinary shares in Bahamas Petroleum.
Bahamas Petroleum has agreed to issue up to 100 million new ordinary shares to the fund 2 pence per share, thereby providing relevant investors in the Bahamas equal pricing to that offered to other shareholders.
Simon Potter, chief executive officer of the company, said: "It has long been the company's intention to provide Bahamians a means of investing directly in this nationally significant project."
"Whilst the royalty regime under which Bahamas Petroleum Company operates ensures economic value for the people of the Bahamas via government revenues, the mutual fund initiative will allow Bahamian individuals to hold a stake in the outcome of this exciting and potentially transformational project, and thus to personally benefit should the project be successful," Potter added.
Bahamas Petroleum shares were down 2.1% in London at 2.06 pence each on Monday.
By Loreta Juodagalvyte; loretajuodagalvyte@alliancenews.com
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