LONDON (Alliance News) - Cluff Natural Resources PLC said Thursday it has placed 857.1 million shares at 1.75 pence each as part of a previously announced placing and subscription to raise GBP15 million.
The natural resources focused investment company placed 854.3 million new ordinary shares with new and existing institutional investors. In addition, some company directors and senior managers have subscribed for a total of 2.9 million new shares.
The 1.75p share issue price represents a 17% discount to the stock's closing price on Wednesday. Shares in Cluff were trading 13% lower at 1.82 pence each on Thursday morning in London.
"We are delighted to announce this transformational fundraising which will fully fund the company to drill its two high-impact wells with Shell at Selene and Pensacola while also allowing us to continue to further expand and de-risk the rest of our portfolio. This fundraising allows us to build on the recent success achieved with the substantial expansion of our portfolio of licences in the last UK licensing round as well as the introduction of Shell as a partner on two of our licences," said Cluff Natural Chief Executive Graham Swindells, referring to Royal Dutch Shell PLC.
CEO Swindells, Chair Mark Lappin, Chief Operating Officer Andrew Nunn and Non-Executive Director Peter Nigel Cowley subscribed for 571,430 shares each.
Following the subscription, Swindells and Nunn own 0.06% stakes. Lappin owns a 0.04% stake and Cowley has a 0.07% stake.
