Last checked at 14 Mar 2018 07:00
14 March 2018
Sound Energy plc ("Sound Energy" or the "Company")
Sound Italy Divestment: Reduction of Capital
Sound Energy, the Moroccan and European gas company, announces that the cancellation of the share premium account described in the Company's announcement of the terms of the disposal of the Company's Italian portfolio (the "Disposal") released on 22 January 2018 (the "Reduction of Capital") has been approved on 13 March 2018 by the High Court of Justice of England and Wales (the "Court").
The Court Order approving the Reduction of Capital has been registered with the Registrar of Companies on 13 March 2018 and accordingly the Reduction of Capital has now become effective. The Reduction of Capital has created distributable reserves of approximately £277.7 million for Sound Energy and will enable the Sound Energy shareholders on the register at 6:00pm on the repayment record date of 3 April 2018 (the "Repayment Record Date") to receive an aggregate of 185,907,500 (subject to rounding of fractional entitlements) new ordinary shares in the share capital of Saffron Energy plc (to be renamed Coro Energy plc) (the "Coro Consideration Shares") in connection with the Disposal, with the Coro Consideration Shares to be issued directly to such Sound Energy shareholders on completion of the Disposal. The issuance of the Coro Consideration Shares to the Sound Energy shareholders will constitute an indirect repayment of capital by Sound Energy to Sound Energy shareholders.
The Reduction of Capital is a legal and accounting adjustment and is not expected to have any direct impact on the market value of the ordinary shares in the capital of Sound Energy.
Sound Energy shareholders on the register at 6:00pm on the Repayment Record Date will receive the Coro Consideration Shares pro rata to their holdings in the Company on the Repayment Record Date on completion of the Disposal, which remains subject to the approval of the relevant resolutions at a shareholder meeting of Saffron Energy plc to be held on 29 March 2018.
This announcement is inside information for the purposes of Article 7 of Regulation 596/2014.
For further information please contact:
|