(Alliance News) - Empyrean Energy PLC on Wednesday said it intends to raise up to GBP2.0 million through an open offer of new shares.
The open offer will give qualifying shareholders the opportunity to subscribe for up to 57.4 million shares at 3.5 pence each on the basis of 1 new share for every 8 existing shares, to raise GBP2.0 million.
Shares in the oil & gas company were trading 4.6% higher at 3.45 pence each on Wednesday afternoon in London.
Empyrean said the new cash will provide it with additional working capital to ensure financial flexibility, and allow it to "capitalise on and realise a portion of the significant value created in its diverse asset base."
Earlier in April, the company said it had raised GBP410,950 through a direct subscription with the proceeds to go toward satisfying its share of final costs in relation to the recent drilling in the final quarter of 2019, including post drilling resource updates, and to provide sufficient working capital through to the end of May.
However, it said that now has an additional funding requirement of around GBP1.2 million to cover its general and administrative costs and working capital requirements from June 2020 through to the end of April 2021.
By Ife Taiwo; ifetaiwo@alliancenews.com
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Empyrean (EME)