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Sk,
You're expecting the equity fund raising to be rejected, why?
I'd expect the institutional investors to support PMO's proposed fund raising and wipe out the private investors, why wouldn't they? The placing price imo would reflect current oil / share price etc.
Please clarify what does it mean to win the court case? The acquisitions / equity fund raising was planned by PMO.
Fernando,
Who do you think would benefit from an equity fund raising, the lenders and Institutional investors or the small PI's getting diluted to oblivion? therefore how are they likely to proceed?
Hi RPoodle,
Did they mention the purchase of NS assets which requires issuing equity, share dilution. From the comments posted theres nothing to infer this has been halted. It may be considered good for the future of the company, just not so for the shareholders.
Thanks.
Hasiba, you really dont seem to have grasped the implications of the proposed equity fund raising, the SP is where it is for good reason. If it goes ahead, PI's could be diluted to oblivion with the number of shares required to be issued.
Good luck.
I understand that PMO was planning a rights issue to fund BP fields.
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Havent heard otherwise. If an equity fund raise was to happen at the current market price the institutional investors are likely to do very well, while the private investors would be highly diluted imo, the II's are unlikely to object too it imo.
That's the least of your worries, what will an equity raise for the N Sea Sea acquisitions do to everyone's holdings at the current share price, how many new shares required? Estimated share price?
Estimated placing SP? Rights issue?
The proposed Acquisitions will be funded via a US$500m equity raise (net of expenses) which has been fully underwritten on a standby basis, existing cash resources and, if required, an Acquisition Bridge Facility of US$300 million. Premier expects that the equity raise will include both a placing and rights issue component with any shares issued under the placing qualifying for the subsequent pre-emptive rights issue.
finally got a buy at 32p :(
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Dead cat bounce, that will look expensive soon
To be fair, the whole sector is going to struggle, theres no light at the end of the tunnel this time, tlw will be interesting.
GL
Tbh, I too feel for the LTH's too, I lost a fortune after PMO spiked a couple of years ago. Absolutely no doubt there will be a buying opportunity later in the year for those looking to get back in, I dont see any reason for a recovery in PMO sp soon.
Target 19p
FTSE100 down nearly 6%, this is going to get hammered!
I dont expect any turnaround in the short term either.
Expect to see previous lows again, targets 42p, 19p