11 Mar 2010 07:00
11 March 2010
BPC Ltd
("BPC" or the "Company")
Placing and update re intention to re-domicile
BPC, the oil and gas exploration company with licences in The Bahamas, announces that the Company's brokers, Novus Capital Markets and FirstEnergy Capital LLP, on behalf of the Company, have placed a total of 69,842,860 new ordinary shares (the "Placing Shares") in the capital of the Company, conditional on admission of the Placing Shares to trading on AIM, at a placing price of 3.5 pence per share (the "Placing") with institutional shareholders to raise approximately £2.4 million, gross of expenses.
Highlights
·; Placing of 69,842,860 Placing Shares at a price of 3.5 pence per new ordinary share to raise approximately £2.4 million.
·; New funds will be utilised for the Company's ongoing working capital requirements.
·; Placing Shares are expected to be admitted to trading on AIM on 16 March 2010.
The Placing Shares will rank pari passu with all existing ordinary shares in the capital of the Company, and application will be made for the Placing Shares to be admitted to trading on AIM ("Admission"). Admission is expected to commence on 16 March 2010, when the enlarged issued share capital of the Company will total 859,482,698 shares.
The Company intends to use the net proceeds from the Placing to provide additional working capital.
Following the Placing, the above figure of 859,482,698 ordinary shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, BPC under the Financial Service Authority's Disclosure and Transparency Rules. The Company does not hold any shares in treasury.
Intention to re-domicile
Further to the announcement of 3 December 2009, the board re-iterates its intention to change the holding company for the Company and its subsidiaries from a Falkland Islands company to an Isle of Man company. However, BPC now intends to undertake this re-domicile following the approval of the licences, to be awarded to the BPC/Statoil JV as per the announcement of 18 May 2009. A further announcement will be made in due course.
Alan Burns, Chairman and Chief Executive of BPC, said:
"We are very pleased to announce this placing of shares, which was well received by institutional investors. The Placing includes a number of new institutional investors, which further widens the Company's shareholder base and will provide stability for the business in its next stage of development. The Board believes that this represents a glowing endorsement by the investment community of the BPC strategy and our assets in the Bahamas, and we look forward to delivering shareholder value throughout the development process.
"We are confident of securing the licences for the BPC/Statoil JV which will represent a significant milestone for the Company and look forwarding to updating the market in due course."
For further information contact:
| BPC Limited Alan Burns, Chairman and CEO Dr Paul Crevello, Chief Operating Officer
|
Tel: 44 (0) 1624 64 1199 Tel: +1 720 771 7583 |
| Strand Hanson Limited Rory Murphy / Liam Buswell
|
Tel: +44 (0)20 7409 3494 |
| Novus Capital Markets Ltd Charles Goodfellow / David Rae
|
Tel: +44 (0)20 7107 1872 |
| FirstEnergy Capital LLP Richard Hail / Derek Smith
|
Tel: +44 (0)20 7448 0200 |
| Financial Dynamics Billy Clegg / Ed Westropp |
Tel: +44( 0)20 7831 3113 |