Ascent Resources PLC Restructuring of Liability to EnQuest (5620S)
July 09 2015 - 2:00AM
UK Regulatory
TIDMAST
RNS Number : 5620S
Ascent Resources PLC
09 July 2015
Ascent Resources plc
("Ascent" or "the Company")
Restructuring of Liability to EnQuest
The Board of Ascent is pleased to announce that it has reached
an agreement with EnQuest PLC ("EnQuest") to restructure a debt of
approximately GBP3million due for repayment in December 2015 into
approximately GBP2million of convertible loan notes.
Background
In December 2010 Ascent entered into an agreement with EnQuest
to acquire their 48.75% interest in the Petišovci project in
Slovenia. The consideration consisted of:
a) 150,903,958 new Ordinary Shares of 0.1p each in the Company,
which were issued fully paid to EnQuest at closing;
b) GBP14,830 payable in cash for each year between closing and
the fifth anniversary of the date of closing payable on 20 December
2015 in total GBP74,150; and
c) GBP2,968,000 contingent consideration payable in cash on 20 December 2015.
Terms of restructuring the liability to EnQuest
The total of GBP3,042,150 was to become due for payment to
EnQuest on 20 December 2015 and has now been restructured into
GBP2,038,241 of convertible loan notes.
The terms of these convertible loan notes are identical to the
GBP4million of notes issued in 2014 to Henderson Global Investors
("Henderson") and will benefit from security over the Company's
shareholding in Ascent Slovenia Limited which owns an interest in
the Petišovci concession.
of the 2014 Loan Notes and those now issued to EnQuest ceased to
accrue interest from 1 February 2015, are due for redemption on the
earlier of 19 November 2015 or a liquidity event and are
convertible into Ordinary Shares of 0.1 pence at the rate of 1,000
shares for every GBP1 loan note held.
Shareholdings
EnQuest currently holds 160,903,958 Ordinary Shares of 0.1 pence
each in the Company which is 9.28% of the issued share capital and
1.37% on a fully diluted basis. Following the issuance of
GBP2,038,241 convertible loan notes, EnQuest will have a 15.95%
interest in the fully diluted share capital of the Company.
Henderson's fully diluted interest will reduce from 84.28% to
71.82%.
Clive Carver, Chairman of Ascent Resources plc said:
"By restructuring these notes, the Company has removed a
significant obstacle to securing further funding for the company
and the Petišovci project".
Enquiries:
Ascent Resources plc.
Len Reece / Colin Hutchinson
Tel: +44 (0)20 7251 4905
finnCap (Nominated Adviser and Broker)
Christopher Raggett
Tel: +44 (0) 20 7220 0500
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCDMGGNMRFGKZZ
Ascent Resources (LSE:AST)
Historical Stock Chart
From Mar 2024 to Apr 2024
Ascent Resources (LSE:AST)
Historical Stock Chart
From Apr 2023 to Apr 2024