I am worried about Gulf Marine Services after it issues this block listing news application on Thursday:
Application has been made to the Financial Conduct Authority and to the London Stock Exchange to admit 137,075,773 ordinary shares of £0.02 each in the Company to the premium listing segment of the Official List and to trading on the main market for listed securities of the London Stock Exchange under a block listing. On issue, such shares will rank pari passu in all respects with the existing issued ordinary shares of the Company.
The relevant shares may be issued from time to time in connection with the warrants issued by the Company on 2 January 2023 to the Company's consortium of lending banks pursuant to the terms of the 2021 Common Terms Agreement.
It is expected that admission will take place on 9 May 2024.
Stockopedia states the company has just over 1000 million shares, so I am right to say if this goes through there`ll be 13% more shares available on Monday. Is this like Warpaint London where the directors have sold 8% of their shares to the market last week to institutions, so it means institutions now have 8% more shares of Warpaint to sell. Or is this type of news different to Warpaint`s- the company talks about warrants issued to a consortium of banks on 2nd January 2023, which is now being exercised. Does anyone have any experience of this. Are the banks likely to sell these shares straight away or were they expecting to hold the shares at some time in the future, so it just means there`s more holders of the shares than before but nothing is likely to happen immediately as a result of this.
I understand no-one can predict the future, but just wondered if anyone knew what`s going on here and could explain this to me.
