Helium One Global (AIM: HE1), the primary helium explorer in Tanzania, is pleased to announce that, following the announcement on 13 December 2022 (the "Launch Announcement") regarding the launch of a proposed placing (the "Placing") and a direct subscription (the "Subscription") (together, the "Fundraise"), the Company has raised gross proceeds of approximately £9.9 million (approximately US$12.3 million) through the issue of an aggregate of 197,922,716 new ordinary shares of no par value in the capital of the Company ("Ordinary Shares") at a price of 5.0 pence per Ordinary Share (the "Issue Price"). As announced at 7.00 a.m. this morning, the Fundraise was upsized in light of significant investor demand and was supported by both existing shareholders and new investors.
The Fundraise was conducted through an accelerated bookbuild process (the "Bookbuild") undertaken by Liberum Capital Limited and Peterhouse Capital Limited acting as joint bookrunners ("Joint Bookrunners").
The Fundraise comprised of a Placing of 175,567,924 new Ordinary Shares ("Placing Shares") to raise approximately £8.8 million (approximately US$10. 9 million) and a Subscription of 22,354,792 new Ordinary Shares ("Subscription Shares") to raise approximately £1.11 million (approximately US$1.4 million) (together and in aggregate the "Fundraise Shares").
The Issue Price represents a discount of approximately 26 per cent. to the closing price of 6.75 pence per Ordinary Share on 12 December 2022, being the last business day prior to the announcement of the Fundraise.
David Minchin, Chief Executive Officer, commented:
"The response that we have seen during this oversubscribed fundraise from a broad range of new and existing investors endorses the confidence that we feel in our planned drilling campaign at Tai prospect in the Rukwa Basin. The financial support given allows the Company to be funded through drilling, targeted to commence in Q1 2023.
"With our 2021 drilling programme providing detailed information on reservoir and seal, and the identification of helium gas shows at multiple intervals to prove up a working helium system, the Company is confident that the Tai prospect provides the best chance to make an economic discovery and unlock the potential of the Rukwa helium province."
"Helium remains a vital resource, un-substitutable in a range of high-value, high-tech, applications, and which remains in critical short supply. With the Russia invasion of Ukraine removing 2.1Bcf of future supply and existing by-product production unable to adjust for new demand, we believe our Rukwa Helium Project is well placed to become a strategic asset in supplying zero-carbon primary helium into the world market.
"2023 promises to be a momentous year for the Company as we focus on making a discovery that can be transformational for the Company. We look forward to welcoming our new shareholders on board at this exciting time."
Admission and Total Voting Rights
Application has been made for the Fundraise Shares to be admitted to trading on AIM ("Admission"). It is anticipated that trading in the Fundraise Shares will commence on AIM at or around 8.00 a.m. on 19 December 2022. The Fundraise Shares will rank pari passu with the existing Ordinary Shares in issue. The Fundraise Shares will represent approximately 24.1 per cent. of the Company's enlarged issued share capital on Admission (assuming no other issuance of Ordinary Shares prior to Admission).
Following Admission of the Fundraise Shares, the Company's issued and fully paid share capital will consist of 820,279,002 Ordinary Shares, all of which carry one voting right per share. The Company does not hold any Ordinary Shares in treasury. Following Admission, the figure of 820,279,002 Ordinary Shares 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 Disclosure Guidance and Transparency Rules.
Director Participation in the Subscription
The Directors of the Company have subscribed for a total of 840,000 Subscription Shares in aggregate. The beneficial holdings of the Directors before and after the Fundraise are set out below:
Capitalised terms not defined in this announcement have the meaning given to them in the Launch Announcement.
