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LONDON - Prospex Energy plc (AIM:PXEN) announced on Tuesday that it plans to raise a minimum of £550,000 through a placing and subscription at 4.5 pence per share, with an additional retail offer to existing shareholders for up to £500,000.
The fundraising will support ongoing operations at the company’s producing assets in Spain, particularly funding a workover on the Viura-1B well to resume production and covering costs for long-lead items for a planned 2026 drilling campaign.
The placing will issue 5,388,889 new shares to qualified investors, while HEYCO Energy Group, which owns a majority stake in the Viura Field where Prospex has a 7.24% interest, has indicated its intention to subscribe for 4,500,000 shares amounting to £202,500. Certain existing shareholders and other investors have also indicated plans to subscribe for 1,111,111 shares worth approximately £50,000.
Several directors and a PDMR have indicated they will participate in the placing for a total of £55,000, including CEO Mark Routh who plans to subscribe for £15,000 worth of shares.
The retail offer will allow existing shareholders to participate via the Winterflood Retail Access Platform to raise up to £500,000, which may be increased depending on demand.
Mark Routh, Prospex’s CEO, stated that while the company primarily operates on a financially self-sustaining basis, strategic development opportunities require additional investment. The recent acquisition of Tarba Energía S.L. in April provided the company with a 100% indirect working interest in the El Romeral asset and exploration permits in southern Spain.
The issue price of 4.5 pence represents a 4.4% discount to the closing price of 4.7 pence on June 24. Admission of the new shares to trading on AIM is expected around July 3, 2025.
The announcement is based on a press release statement from the company.
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