Nu-Oil has completed a placing of new ordinary shares of 0.1 pence each in the Company ("Ordinary Shares") to raise £2.0 million in total before expenses. The Company placed 160,000,000 new Ordinary Shares (the "Placing Shares") at a price of 1.25p per Placing Share (the "Placing Price") to raise £2.0 million (before expenses) (the "Placing"). The Placing was organised by the Company's sole broker, Beaufort Securities Ltd. The Placing proceeds will be applied to general working capital and the continued implementation of the Company's stranded and marginal field strategy, in conjunction with the Marginal Field Development Company Ltd. ("MFDevCo"), in which it has a 50 per cent interest.
The Placing is being carried out utilising the Company's current authority from its shareholders to issue shares for cash on a non pre-emptive basis.
Application will be made to the London Stock Exchange for the Placing Shares, which will rank pari passu with the existing Ordinary Shares in issue, to be admitted to trading on AIM ("Admission"). Admission is expected to become effective at 8.00 a.m. on 15 March 2018.
Following Admission, the Company will have 1,393,592,348 Ordinary Shares in issue. The Company holds 12,325,378 Ordinary Shares in treasury. Therefore, the figure of 1,381,266,970 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 in their interest in, the share capital of the Company under the FCA's Disclosure Guidance and Transparency Rules.
In conjunction with the Placing, Nu-Oil has also issued 16,000,000 million warrants to Beaufort Securities Limited, with each warrant able to subscribe for one new Ordinary Share at the Placing Price, exercisable within 5 years from the date of Admission.
Alan Minty, Executive Chairman of Nu-Oil, commented:
"We are pleased to be able to complete this fundraise which supports the continued development of our stranded and marginal field strategy and allows us to strengthen the Company's financial position."
