Invictus Completes $8.0 million Placement

HIGHLIGHTS
• The capital raising is made up of A$8.0m in funds raised via a Private Placement to sophisticated and institutional investors
• Proceeds from the capital raising to be applied to SG 4571 seismic acquisition campaign and ordering of long lead drilling items for Mzarabani-1 exploration well
• Funds will provide capital for Invictus to accelerate the Company’s exploration campaign throughout the remainder of CY21

Invictus Energy Limited, is pleased to announce that it has received firm commitments from new and existing institutional and sophisticated investors to raise A$8.0m (before costs) by way of a share placement (‘Placement’).

Invictus received strong interest and support from both new institutional investors and existing shareholders, PAC Partners acted as lead manager to the Placement.

Placement Details
Under the Placement Invictus will issue 25,058,198 new fully paid ordinary shares (‘New Shares’) under the Company’s remaining ASX LR-7.1 capacity and 47,669,075 New Shares under the Company’s additional ASX LR-7.1A placement capacity, for a total of 72,727,273 New Shares, at an issue price of $0.11 per share.

The placement price of A$0.11 per share represents a 21.4% discount to the last traded price of $0.14 per share on 19 March 2021, being the last trading date before the placement, and a 10.0% discount to the 15-day VWAP prior to that date.

Each investor in the New Shares will also be allocated an attaching unlisted option, on a 1-for-2 basis, with an exercise price of $0.17 and a 3-year term, resulting in a total of 36,363,636 new options being issued. The options are to be issued under the Company’s ASX LR-7.1 capacity.

Funds received from the placement will total A$8.0 million before costs.

Use of Funds
Proceeds of the Placement will be applied towards:
• The upcoming 2D seismic campaign in SG 4571;
• Basis of well design;
• Long lead drilling items for the Mzarabani-1 exploration well;
• Drilling rig tender preparation; and
• General working capital

The Company will pay a cash fee of 6% on total funds raised and will also be entitled to receive an attaching unlisted option, on a 1-for-8 basis, with an exercise price of $0.17 and a 3-year term, resulting in an additional 9,090,909 Lead Manager options being issued. The Company will seek to hold a shareholder meeting for the approval of the Lead Manager options.

Commenting on the capital raising Managing Director Scott Macmillan said:
“We are extremely pleased with the excellent support received from new and existing shareholders and it is a strong endorsement of our Cabora Bassa project and the exciting and world class Mzarabani-1 Prospect which the Company is preparing to drill.

The placement funds will allow us to commence our 2D seismic acquisition campaign to refine the drilling targets in the stacked Mzarabani Prospect and identify additional prospectivity in the SG 4571 permit.

The Company will also use part of the proceeds from the placement to order long lead drilling equipment and undertake a rig tender exercise. In addition, the placement will provide ongoing working capital to support the development of the project as it continues to prepare for a high impact basin opening drilling campaign, anticipated in late CY21 / early CY22.”