LONDON (Alliance News) - Mercom Oil Sands PLC Tuesday said it has issued a total of 1.4 million shares to two current non-executive directors and one former director of the company as payment for "work on special projects."
The shares have been issued at a price of 6.0 pence per share for work completed by the directors that was "outside the scope of their letters of appointment," said the company.
In its full year results ended March 31, Mercom said "the time spent on these [special] matters was beyond normal expectations of board members and compensation was measured at the value the company would have had to pay other individuals or entities in order to obtain these services."
Current Non-Executive Directors Patrick Cross and Kyle Appleby have been issued with 466,666 shares each. Cross did not hold any shares in the company prior to the transaction and now holds a 3.7% stake whilst Appleby now holds 470,666 shares in Mercom, representing a 3.73% stake.
Former Non-Executive Director Albert Taubi was issued with 437,500 shares. Taubi left the company in October after he was issued with a bankruptcy order in May. The company did not state what Taubi's total holding in the company was following the transaction.
Mercom shares were down 4.1% to 5.76 pence per share on Tuesday afternoon.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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