(Alliance News) - Helium One Global Ltd on Monday published its admission document for listing on London's junior AIM market, combined with a planned GBP6 million fundraise.
Helium One is focused on development of the Rukwa helium project in Tanzania. It has raised GBP6 million before expenses through a placing of 211.3 million shares at 2.84 pence each as part of its planned initial public offering in London.
The expected admission date is December 4, with Helium One's anticipated market capitalisation forecast to be GBP14.1 million. Its joint brokers are Peterhouse Capital Ltd and Pello Capital Ltd.
Proceeds of the share placing will mainly go towards funding three-well drilling programme at Rukwa, as well as an infill seismic programme.
Attis Oil & Gas Ltd, an AIM cash shell, has entered a binding amalgamation agreement with Helium One Treasury Ltd, a wholly owned subsidiary of Helium One Global Ltd.
Attis shareholders to be issued 1 Helium One share for every 236 Attis shares held. The deal values Attis at approximately GBP1.8 million, with Attis shareholders to hold around 13% of the enlarged Helium One group on admission.
On completion of the amalgamation, all Attis shares will be cancelled. Shareholder approval for the amalgamation and cancellation will be sought at a general meeting, which has been convened for November 25.
Attis Chair Paolo Amoruso said: "We are delighted with the market reaction that we have seen following our announcement about Helium One and during this placing. This endorses our view that this transaction is excellent news for the shareholders of Attis and offers them the opportunity to be part of a company which we believe has very significant potential going forward."
The Helium One news also was welcomed by Scirocco Energy PLC, an AIM investing company which currently holds a 12% stake and will hold a 4.3% stake in Helium One on admission.
Scirocco's chief executive, Tom Reynolds, said: "It is great news to see that there has been such a positive reaction to the placing, and the GBP6 million will be sufficient for the drilling programme that they propose. We are confident about this transaction and what it will also mean for Scirocco and our shareholders. We look forward to being updated with progress and welcoming Helium One to AIM."
Shares in Scirocco were up 6.4% at 1.49 pence in London on Monday at midday. Attis shares were up 8.2% at 0.029p.
By Anna Farley; annafarley@alliancenews.com
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