REG - Reabold Resources - Issue of Options

Reabold ResourcesAnnouncement

14/03/2018 16:25

RNS Number : 7551H
Reabold Resources PLC
14 March 2018
For immediate release
14 March 2018
Reabold Resources plc
("Reabold" or the "Company")
Issue of Options
Reabold, the AIM-listed strategic investor in pre-cash flow upstream oil and gas projects, is pleased to announce that, further to the successful placing announced on 28 February 2017 to raise approximately 7.83m ("the Placing") at a price of 0.6 pence ("the Placing Price"), the Company advises that it has granted options to directors over a total of 125 million common shares ("the Options").
The granting of the Options is subject to approval of the Placing at a meeting of shareholders to be held on 19 March 2018 and would represent 4.39% of the issued share capital of the Company following completion of the Placing. The Options will have a four-year term, expiring on 19 March 2022.
Executive
Position
New Options Issued
Exercise Price
Vesting Period
Expiry
Sachin Oza
CEO
20,000,000
20,000,000
20,000,000
0.60p
0.90p
1.20p
Immediately
12 months from grant
18 months from grant
19-Mar-22
19-Mar-22
19-Mar-22
Stephen Williams
CEO
20,000,000
20,000,000
20,000,000
0.60p
0.90p
1.20p
Immediately
12 months from grant
18 months from grant
19-Mar-22
19-Mar-22
19-Mar-22
Anthony Samaha
Finance Director
5,000,000
0.60p
Immediately
19-Mar-22
Of the 125m Options: 45 million have an exercise price of 0.60p and vest immediately and are in line with both the Placing Price as set out above; 40 million have an exercise price of 0.90p, representing a premium of 50% to the Placing Price and vest 12 months from grant; and 40 million have a exercise price of 1.2p, representing a premium of 100% to the Placing Price, and vest 18 months from grant. Should any Option holder leave the Board prior to the vesting of their Options, such Options will be forfeited. 
The issue of the Options as set out above ("the Transaction") are a related party transaction under the AIM Rules. Jeremy Edelman, the Director independent of the Transaction, considers, having consulted with the Company's Nominated Adviser, that the terms of the Transaction are fair and reasonable so far as shareholders of the Company are concerned.
Jeremy Edelman, Executive Chairman, commented:
"I am delighted to see the completion of the successful fundraising led by Sachin and Stephen, with strong institutional support for the implementation of their unique business strategy aimed at catalysing near term activity and delivering long-term growth and substantial returns for shareholders. Following discussions with key stakeholders, it was clear that now is the right time to enhance appropriate incentives for the management team, to further align their interests with those of shareholders."
"We look forward to further benefiting from their considerable technical and commercial acumen and to the high-impact drilling opportunities which Sachin and Stephen have made possible for the Company in 2018."
Currentmanagement incentive options include those granted on 19 October 2017 which are shown in the table below, and which, when aggregated with the Options subject to approval of the Placing, represent options over a total of 315,000,000 ordinary shares in the Company, representing 11.07% of the issued share capital of the Company following completion of the Placing.
Executive
Position
Options Issued
Exercise Price
Vesting Period
Expiry
Sachin Oza
CEO
30,000,000
30,000,000
30,000,000
0.50p
0.75p
1.00p
From19October2017
12 months from grant
18 months from grant
19-Oct-21
19-Oct-21
19-Oct-21
Stephen Williams
CEO
30,000,000
30,000,000
30,000,000
0.50p
0.75p
1.00p
From19October2017
12 months from grant
18 months from grant
19-Oct-21
19-Oct-21
19-Oct-21
Anthony Samaha
Finance Director
10,000,000
0.5p
From19October2017
19-Oct-21
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014
Enquiries:
Reabold Resources plc
Sachin Oza
Stephen Williams
C/o Camarco
Tel: 020 3757 4980
Beaumont Cornish Limited
Roland Cornish
Felicity Geidt
Tel: 020 7628 3396
Whitman Howard Limited
Nick Lovering
Grant Barker
Tel: 020 7659 1234
Turner Pope Investments (TPI) Ltd - Joint Broker
Andy Thacker
Tel: 020 3621 4120
Camarco
Billy Clegg
James Crothers
Oliver Head
Tel: 020 3757 4980

This information is provided by RNS
The company news service from the London Stock Exchange
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