RE: Production deal17 Jun 2021 12:20
"Seed investors" including some of us private investors considered an inaugural deal would have occurred within months of original listing due to the ex-Faroe management team's proven track-record and contacts and a premium on RTO was a probable outcome.
Forward 18 months and entry point is less than original placing..."NO reward" for seed investors, in fact a significant loss.
Of course we all know the main reasons for this, namely the unprecedented pandemic and global lockdowns resulting in the collapse of oil and gas prices due to lack of demand resulting in energy companies battening down their doors instantly killing M&A activity.
As the world emerges from lockdowns with the success of the vaccination programs we are now clearly seeing a significant increase in M&A activity and hopefully Longboat can deliver what it set out to do - become a significantNorth Sea-focused E&P business.
With a highly tax efficient near-term 3 x bi-lateral farm-in exploration programs agreed (subject to approval of a Norwegian licence) lets hope LBE next acquire cashflow generative production deal(s).
It is what it is....