Dart Energy raises A$20.7mln with big appetite for entitlement offer By Jamie Nimmo October 04 2013, 7:46am
Dart Energy highlighted that the entitlement offer saw applications totalling A$23mln, almost three times the amount raised
Dart Energy (ASX:DTE) has raised A$20.7 million, bringing its total cash balance to just below A$50mln.
Just under A$12mln of this was raised through a placing of around 132mln shares to institutional investors at a price of 9 cents each, with around 45% subscribed for by British and Asian investors, reflecting the growing interest in the company there.
The remaining A$8.8mln came from a “significantly oversubscribed” entitlement offer that allowed eligible shareholders to subscribe for one new share for every nine Dart shares held at a price of 9 cents.
The company highlighted that the offer saw applications totalling A$23mln, almost three times the amount raised.
Chairman Nick Davies said: “At completion of this capital raising Dart will have total cash of approximately $49.5 million, of which $24 million is restricted due to guarantees, leaving free cash of over $25 million.
“It provides Dart with greater certainty of funding and thus financial strength as the Company progresses its unconventional gas field activities over the coming year primarily in the UK along with some focussed activity in China and Indonesia.
“Dart also has a number of commercial discussions underway regarding farm-outs, joint ventures, and asset sales, and the strengthened balance sheet will provide Dart with greater negotiating flexibility in this regard.
“We are confident that the work program and other initiatives we have planned will provide a strong platform for future shareholder returns.”
