Savannah Petroleum PLC, the British independent company focused around activities in Niger and Nigeria, today announces its intention to conduct an accelerated bookbuild (the "Bookbuild") to raise gross proceeds of approximately US$23m by way of a placing (the "Placing") of new ordinary shares of £0.001 each in the Company ("Ordinary Shares").
At current prices, the new Ordinary Shares issued pursuant to the Placing are expected to represent approximately 7 per cent. of the Company's current issued share capital.
The Bookbuild will open with immediate effect following release of this announcement. A further announcement confirming the closing of the Bookbuild, the number of new Ordinary Shares issued as part of the Placing and the price being paid per new Ordinary Share (the "Placing Price") is expected to be made in due course.
Mirabaud Securities Limited ("Mirabaud") and H&P Advisory Limited ("Hannam") are acting as joint bookrunners (together, the "Joint Bookrunners") in relation to the Placing. Shore Capital Stockbrokers Limited ("Shore Capital") is acting as Lead Manager.
Expected Use of Proceeds
Savannah intends to use the proceeds of the Placing to fund working capital.
Seven Energy Transaction Update
Further to the Company's announcement on 21 December 2018, Savannah confirms that it remains on schedule to sign the Implementation Agreement by the end of January 2019, with the wider Seven Energy Transaction continued to be expected to complete during Q1 2019. This will be followed in due course by the publication of a supplemental admission document. As announced in previous regulatory updates, the Company expects a cash inflow of US$90m upon completion of the Seven Energy Transaction.
