REG - San Leon Energy PLC - Update on investment from a strategic investor

San Leon EnergyAnnouncement

02/11/2023 07:16

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20231102:nRSB1149Sa&default-theme=true

RNS Number : 1149S  San Leon Energy PLC  02 November 2023

 

 

 

Prior to publication, the information contained within this announcement was
deemed by the Company to constitute inside information for the purposes of
Regulation 11 of the Market Abuse (Amendment) (EU Exit) Regulations 2019/310.
With the publication of this announcement, this information is now considered
to be in the public domain.

 

2 November 2023

San Leon Energy plc

("San Leon" or the "Company")

 

Update on investment from a strategic investor

 

San Leon, the independent oil and gas production, development and exploration
company focused on Nigeria, provides the following update on the investment of
up to US$187 million into the Company by Tri Ri Asset Management Corp.
("TRAM").  The investment was announced by the Company on 10 October 2023. As
previously announced, TRAM has confirmed that all conditions precedent to its
investment have been satisfied and San Leon has accordingly requested draw
down of the US$125.0 million convertible secured loan from TRAM (the "Loan").
In this respect, TRAM has confirmed to San Leon that funds are in the process
of being transferred from TRAM's bank in North America and San Leon has since
received confirmation that payment has been made.  San Leon expects to
receive the net proceeds of the Loan shortly.

 

As part of the investment, TRAM also agreed to subscribe for 44,991,302 new
ordinary shares of €0.01 each in the Company (the "Ordinary Shares") at a
price of 30 pence per new Ordinary Share (the "Subscription Shares").  It was
previously expected by both TRAM and San Leon that the subscription would take
place on or before 31 October 2023. TRAM has signed and returned the
subscription letter for the Subscription Shares and San Leon understands that
TRAM is currently in the process of setting up an account in the UK with its
prime broker who will then be responsible for concluding the settlement of the
Subscription Shares.   San Leon expects the setting up of TRAM's account in
the UK to conclude shortly, following which San Leon will apply for admission
of the Subscription Shares to trading on AIM.

 

Pending receipt of the funds from TRAM, the US$5.0 million loan from funds
managed by Toscafund Asset Management LLP ("Toscafund"), which was originally
announced by San Leon on 8 August 2023, remains outstanding. In this regard,
San Leon is in regular correspondence with Toscafund in relation to the likely
timing of any repayment and release of the security held by Toscafund, that
comprises both a debenture issued by the Company as well as assignments and
pledges over all of its group companies' loan and equity interests in Energy
Link Infrastructure (Malta) Limited. In addition, the Company has not yet
settled any of its other outstanding creditors.

 

Further announcements will be made in due course following receipt of funds
from TRAM.

 

Enquiries:

 

 San Leon Energy plc                                   +353 1291 6292
 Oisin Fanning, Chief Executive

 Julian Tedder, Chief Financial Officer
 Allenby Capital Limited                               +44 20 3328 5656

 (Nominated adviser and joint broker to the Company)
 Nick Naylor

 Alex Brearley

 Vivek Bhardwaj
 Panmure Gordon & Co                                   +44 20 7886 2500

 (Joint broker to the Company)
 James Sinclair-Ford

 John Prior
 Fortified Securities                                  +44 7493989014

 (Joint broker to the Company)
 Guy Wheatley
 Tavistock                                             +44 20 7920 3150

 (Financial Public Relations)
 Nick Elwes

 Simon Hudson
 Plunkett Public Relations                             +353 1 230 3781
 Sharon Plunkett

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCBFLLBXFLFFBX