ZOL.L Regulatory News (ZOL)

28 Nov 2005 09:14

Crosby Capital Partners Inc28 November 2005 28 November 2005 CROSBY CAPITAL PARTNERS INC. ("Crosby" or "the Company") Indago Petroleum Limited raises £70 million in AIM IPO Crosby notes that Indago Petroleum Limited ("Indago") has announced thecompletion of a new issue and placing to a broad base of institutional investorsof 100 million shares in connection with its proposed admission to AIM. Indagohas raised £70 million (before expenses), and will have a market capitalisationof £187 million at the placing price of 70p per share. The board of directors ofIndago have announced that it is expected that Indago's admission will becomeeffective, and that dealings will commence, on AIM on 2nd December, 2005. Following admission, via its 56.6% owned subsidiary Silk Route Petroleum Limited("Silk Route"), Crosby will own 35,000,000 shares in Indago which represents13.12% of Indago's issued share capital. Silk Route has undertaken not to sellits shares for a period of one year following admission. Based on the placingprice of 70p per share, the value of Silk Route's shareholding is £24.5 millionand Crosby's net interest after taking into account minority interests, isvalued at £13.8 million. Indago is an operator of six petroleum exploration and production concessionslocated in Oman and the United Arab Emirates that were acquired from NovusAustralia Energy Company Pty ("Novus"). Indago plans to drill a number ofhighly prospective onshore exploration wells targeting gas and condensate duringthe next year. Commenting, Simon Fry, CEO of Crosby, said: "The completion of the Indago IPO has occurred much earlier than we hadanticipated. Our partners, Meridien Securities, who are the majorityshareholders of Indago prior to the dilution caused by the IPO placement, havebeen excellent in managing a complex process, and as a result, in bringing thisunique company onto the AIM market. We are very excited about the near andmedium term potential of the company and remain committed shareholders as theexploration and development programme unfolds in 2006" He added "from a purely financial standpoint as far as Crosby is concerned, theIPO of Indago means that the last of the assets related to Novus Petroleum thatwe acquired in mid 2004, now have a transparent value either because the assetshave been restructured and are now listed, or we have otherwise monetised them.The combined value placed by the markets on these assets, including Indago afterthe funds raised in this IPO, is over US$496 million, and Crosby's share of thisvalue, if we assume current market prices or cash where Crosby has sold sharesin the companies after they were restructured, is approximately US$102 million." For further information please contact At CrosbySimon Fry Tel: +44 207 590 2800 At Fishburn-HedgesAndy Berry Tel: +44 207 839 4321 This information is provided by RNS The company news service from the London Stock Exchange