LONDON (Alliance News) - Range Resources Ltd Tuesday said that all proposed resolutions relating to its funding package with Beijing Sibo Investment Management LP were passed at its AGM in August.
In May, Range executed the definitive subscription agreement with Beijing Sibo, a new Chinese investment vehicle with the purpose of investing in Range. The investors in Sibo are composed of a number of "high-net-worth individual investors with strong interests in the global energy sector", it said at the time.
In early June, Range received the first tranche of funding, totalling GBP5.2 million, resulting in Range issuing 650 million new shares to Beijing Sibo at the subscription price of GBP0.008 per share, giving it an 11.5% stake in Range. Shareholder approval was not needed for that first tranche.
Under the second tranche, Sibo said it would subscribe to further shares at the same price as the first tranche, for an additional USD22.1 million investment. Sibo's total investment between the two trances is USD30 million. On Tuesday, Range said that the proceeds will be delivered within the next five business days.
In July, Range said that the directors investing are Chairman David Chen who is investing USD96,000, Executive Director Yan Liu with USD76,000 and Non-Executive Directors Zhiwei Gu and Juan Wang who will invest USD25,000 each.
Shares in Range Resources were trading down 4.1% at 0.556 pence Tuesday morning.
By Karolina Kaminska; karolinakaminska@alliancenews.com @KarolinaAllNews
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