(Alliance News) - Bahamas Petroleum Co PLC on Friday said it will offer 338.5 million shares in total as part of a previously announced share subscription under an open offer, which, if fully taken up, will raise GBP6.8 million.
Under the share offer, all investors in the company are being offered to subscribe for 1 new share for each 5 shares held at a price of 2 pence per share. If all of the offer shares are not subscribed by shareholders, then the company's broker, Shore Capital, will seek to place any remaining shares.
Bahamas Petroleum shares were down 2.2% at 1.98 pence each in London on Friday morning, giving it a market capitalisation of GBP33.5 million.
Earlier in October, the Caribbean-focused oil company said it would raise GBP7 million in equity to meet exploration well drilling costs.
Chief Executive Simon Potter said: "We are delighted to make the open offer to our existing shareholders and, reflecting the potential interest shown from institutional investors, will be making any shares not taken up available in the placing, as part of a funding package for our planned drilling activities on our highly prospective licences. A significant operational phase is now getting underway, where we will be working towards receipt of a rig from Seadrill in late first quarter 2020. This is an exciting time for the company, and we look forward to updating shareholders on the results of the open offer process, as well as other operational updates in due course."
By Tapan Panchal; tapanpanchal@alliancenews.com
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