Less Ads, More Data, More Tools Register for FREE

Pin to quick picksUnion Jack Regulatory News (UJO)

Share Price Information for Union Jack (UJO)

London Stock Exchange
Share Price is delayed by 15 minutes
Get Live Data
Share Price: 26.50
Bid: 25.50
Ask: 27.50
Change: 0.00 (0.00%)
Spread: 2.00 (7.84%)
Open: 29.00
High: 29.00
Low: 25.50
Yest. Close: 29.00
UJO Live PriceLast checked at -

Watchlists are a member only feature

Login to your account

RNS Alerts are a premium feature

Login to your account

myTerminal is a premium feature

Login to your account

Don't have an account? Click here to register.

Placing and Subscription to raise £7 million

Thu, 17th Sep 2020 11:08

RNS Number : 3167Z
Union Jack Oil PLC
17 September 2020
 

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement

 

17 September 2020

 

Union Jack Oil plc

("Union Jack" or the "Company")

Placing and Subscription to raise £7 million

 

Union Jack Oil plc (AIM: UJO), a UK-focused onshore hydrocarbon production, development and exploration company, is pleased to announce that it has raised £7 million by way of an oversubscribed placing and subscription of 4,375,000,000 new ordinary shares of 0.025p each ("New Ordinary Shares") at a price of 0.16p per New Ordinary Share (the "Fundraising"). The Fundraising comprises a placing of 4,127,187,500 New Ordinary Shares ("Placing") and a subscription of 247,812,500 New Ordinary Shares ("Subscription"). SP Angel Corporate Finance LLP acted as sole broker on the Placing.

 

David Bramhill, Executive Chairman of Union Jack, commented:

"The Board is delighted with the result of this oversubscribed fundraising and thanks existing shareholders for their ongoing support and welcomes new investors to the share register.

"The Company is already funded for the imminent drilling at West Newton and for the associated Extended Well Test activities and the cost to first oil production at the Wressle development. With the fundraising net proceeds, our cash position increases to approximately £11 million and will assist in funding our next growth phase. This fund raising will allow us to continue to invest in our conventional onshore flagship projects and invest for growth in our wider licence interests and drill up to four wells in our drill-ready portfolio before the end of 2021.

"We also believe there will be attractive acquisition opportunities available from the ongoing fallout resulting from COVID, energy prices and BREXIT.

"The directors remain extremely confident in respect of the future prospects of Union Jack and look forward to updating the market on the imminent activity at West Newton and Wressle in the coming weeks and months and thereafter on our wider drill-ready portfolio."

 

The Placing and Subscription

The Company has raised £7 million before expenses by way of a placing and subscription of 4,375,000,000 New Ordinary Shares of 0.025p each at a price of 0.16p per New Ordinary Share. The Fundraising comprises a Placing of 4,127,187,500 New Ordinary Shares and a Subscription of 247,812,500 New Ordinary Shares. SP Angel Corporate Finance LLP acted as sole broker on the Placing.

 

Use of Proceeds

The Company is already funded for the imminent drilling at West Newton and for the associated Extended Well Test activities, and the cost to first oil production at the Wressle development that is expected to come onstream in Q4 2020. The Company intends to continue to invest in its conventional flagship projects and in its wider licence interests and the net proceeds of the Fundraising will be used to:

· pay the deferred cash consideration due on first oil production at the Wressle development on-track in Q4 2020 as a result of past acquisitions that have resulted in the Company holding a 40% licence interest;

· drill a side-track well at the Biscathorpe discovery planned for 2021;

· ongoing investment for growth in the Company's other conventional onshore drill-ready projects including a proposed low-cost, side-track well at the producing Keddington oilfield and a proposed conventional well at North Kelsey;

· the costs to maintain its licence and project obligations across its portfolio; and

· working capital.

The net proceeds of the Fundraising will also allow the Company to take advantage of attractive acquisition opportunities that it believes will become available from the ongoing fallout resulting from COVID, energy prices and BREXIT.

 

Details of the Director Subscription

Joseph O'Farrell has subscribed for a total of 31,250,000 New Ordinary Shares at a price of 0.16p per share ("Director Subscription"). Details of the Director Subscription is outlined in the table below.

 

Director

Position

New Ordinary Shares being subscribed

Shareholding following Admission

% holding following Admission

Joseph O'Farrell

Executive Director

31,250,000

318,082,806

1.61%

 

Related Party Transaction

As Joseph O'Farrell is a director of the Company, the Director Subscription is deemed a related party transaction for the purposes of Rule 13 the AIM Rules ("Related Party Transaction").

David Bramhill, Graham Bull and Ray Godson, being the independent Directors for the purposes of the Related Party Transaction consider, having consulted with the Company's nominated adviser, SP Angel Corporate Finance LLP, that the terms and conditions of the Director Subscription is fair and reasonable insofar as all shareholders of the Company are concerned.

 

Application for Admission

Completion of the Fundraising is conditional, inter alia, upon admission of the New Ordinary Shares to trading on AIM ("Admission").

Application has been made to the London Stock Exchange for the New Ordinary Shares to be admitted to trading on AIM and it is expected that Admission will take place and that trading will commence on or around 8:00 a.m. on 22 September 2020. The New Ordinary Shares will rank pari passu in all respects with the existing ordinary shares.

 

Total Voting Rights

Following Admission, the Company's share capital and total voting rights will comprise 19,815,906,325 Ordinary Shares. The Company does not hold any shares in treasury. Consequently, 19,815,906,325 is the figure which may be used by shareholders as the denominator for the calculation by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FCA's Disclosure and Transparency Rules.

 

For further information, please contact:

Union Jack Oil plc

+44 (0)7801 540 358

David Bramhill

SP Angel Corporate Finance LLP

+44 (0)20 3470 0470

Nominated Adviser and Broker

Richard Morrison

Richard Hail

Caroline Rowe

Cassiopeia Services Ltd

+44 (0)7949 690 338

Public Relations

Stefania Barbaglio

 

 

PDMR Dealing

1.

Details of the person discharging managerial responsibilities/person closely associated

a)

Name:

Mr. Joseph O'Farrell

2.

Reason for the notification

a)

Position/status:

Executive Director

b)

Initial notification/Amendment:

Initial notification

3.

Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor

a)

Name:

Union Jack Oil plc

b)

LEI:

2138005VW7IUUUPY5Q88

4.

Details of the transaction(s): section to be repeated for (i) each type of instrument; (ii) each type of transaction; (iii) each date; and (iv) each place where transactions have been conducted

a)

Description of the financial instrument, type of instrument:

Ordinary shares of 0.025p each

b)

Identification code:

GB00B814XC94

c)

Nature of the transaction:

Director subscription for shares

d)

Price(s) and volume(s):

Price(s)

Volume(s)

0.16 pence

31,250,000

e)

Aggregated information:

Aggregated volume:

Price:

Single transaction as in 4 c) above

Price(s)

Volume(s)

0.16 pence

31,250,000

f)

Date of the transaction:

17 September 2020

g)

Place of the transaction:

Outside a trading venue

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
 
END
 
 
IOESFWFSWESSESU
Date   Source Headline
17th Sep 20215:42 pmRNSResponse to Market Speculation
13th Sep 20217:00 amRNSHalf Year Report 2021
31st Aug 20217:00 amRNSWest Newton Update
24th Aug 20217:00 amRNSWressle Well Test Update
29th Jul 20217:00 amRNSWressle Operations Update

Due to London Stock Exchange licensing terms, we stipulate that you must be a private investor. We apologise for the inconvenience.

To access our Live RNS you must confirm you are a private investor by using the button below.

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.