RE: re: 10 million12 Sep 2021 12:59
Yes. At the time of the proposed board coup. The placing was hugely dilutive and was to himself and a few others - meaning that the ousting could not happen. It was the only way he could save his job. Basically the not long in post Chairman, Andy Morrison left the business (prob because he wouldn't partake in the dilutive fundraise or disagreed with the underhanded way of working). Next day in comes Steve Staley (who also work in Elephant Oil) and the 0.25 fund raise at a 47% discount is done. Not a particularly Christian way of operating IMVHO.
The Company has raised, in aggregate, £ 318,055 , before expenses, by way of a placing of 20,000,000 new ordinary shares (the "Placing Shares") (the "Placing") and a subscription of 107,222,000 new ordinary shares (the "Subscription Shares") (the "Subscription") at a price of 0.25 pence per share (the "Issue Price"). The net proceeds of the Fundraise will be utilised to further the Company's strategy and for general short to medium term working capital purposes. Further fundraises are likely to be necessary thereafter.
The Issue Price represents a discount of approximately 47% to the closing middle market price of the Company's ordinary shares on AIM of 0.47 pence on 7 April 2020, being the latest practicable date prior to this announcement. The Placing Shares and Subscription Shares (together, the "Fundraise Shares") represent approximately 64% of the Company's issued share capital.