Tower Resources plc, the AIM-listed oil and gas company focused on Africa , is pleased to announce a subscription of 1,018,518,519 ordinary shares of 0.001p each (the "Subscription Shares") at a price of 0.027p per Subscription Share (the "Subscription"), being the same price and on the same terms as the placing announced on 16 October 2024 ("Placing"), and being at a discount of approximately 3.6% to the closing bid price of the Company's shares on 8 November 2024.
The Subscription has been arranged by the Company's joint broker, Axis Capital Markets Limited, and is in response to further demand from institutional and other investors, many of whom are already shareholders in the Company, following the previously announced Placing.
The Subscription is being made to fund working capital, including work commitments on the Company's licenses.
The Company has agreed to issue the broker, Axis Capital Markets Limited, warrants over 50,925,926 new ordinary shares for arranging the Subscription ("Broker Warrants"). The period of the Broker Warrants will be three years at a strike price of 0.027p per share.
Share Capital following the Subscription
Application has been made for the Subscription Shares to be admitted to trading on AIM. It is expected that Admission of the Subscription Shares will become effective and that dealings will commence at 8.00 a.m. on or around 25 November 2024.
Following admission of the Subscription Shares, the Company's enlarged issued share capital will comprise 23,394,207,794 Ordinary Shares of 0.001p each with voting rights in the Company. This figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in the interest in, the share capital of the Company under the FCA's Disclosure and Transparency Rules.
Warrants and Options in Issue
Following the issue of the Broker Warrants, the total number of warrants in issue is 1,919,350,883 equating to 7.1% of the Company's enlarged share capital assuming full exercise of all warrants and options.
Tower Resources Chairman & CEO, Jeremy Asher, commented:
"Since our update of 16 October 2024, we have made a good deal of progress on the detailed points of the Cameroon farm-out that remain under negotiation, and the other various discussions we have underway, including future bank financing. We are very happy that both existing and new investors wish to support the Company at this crucial time and to participate in our future success."
