Further to RNS of 24 May, Forum Energy Services Limited (“Forum”) was granted 91 million Initial Consideration Shares representing approximately 4% of the Company’s fully enlarged share capital resulting from the series of transactions undertaken to acquire Saltfleetby Energy Limited.
These shares were specifically not subject to any lock-up provisions and were disposed of by Forum as part of a vendor acquisition placing arranged by the Company’s brokers as recorded in this TR-1, reproduced without amendment below.
The Company notes that all other shares issued or to be issued (subject to shareholder approval at General Meeting on 13 June) are either subject to lock-up provisions detailed in that RNS or are, the Company understands, intended to form part of a 21% strategic stake taken by an investor group led by Aleph International Holdings (UK) Limited (“Aleph”).
The Company also confirms that following admission of the Forum consideration shares on 27 May 2022 the acquisition of SEL completed, thereby giving Angus a 100% interest in the Saltfleetby Licence.
George Lucan, CEO, comments: “We are pleased to have completed the acquisition of Saltfleetby Energy Limited. It is the Board’s view that the acquisition and associated share issuance, taken in totality, will be highly accretive for Angus shareholders this year and in the years following.
The acquisition of Saltfleetby Energy Limited approximately doubles the value of Angus’ interest in the Saltfleetby Licence to approximately £50 million on the basis that the Competent Persons Report of October 2021 ascribed a conservative £25.4 million P90 valuation to Angus’ 51% interest in October after all associated debt funding was taken into account.
Allowing for shareholder approval of the issue of all shares contemplated by these transactions, but before warrant exercise, this £50 million would represent a value per share for that licence interest alone of 1.95 pence – without any value given to Angus’ other assets. Even should the Company’s convertible loan noteholder elect to convert the Company’s Loan Note later this year (see RNS 20 October 2021), that value per fully diluted share would still be 1.85 pence.
As noted in our RNS of 24 May 2022, the October 2021 Competent Persons Report used an average price per therm for gas of under 70 pence over the entire life of the field whilst the Heren NBP forward price for gas is presently trading at a level which is over double that number out to 2025. In that regard we should note that over 70% of overall field revenues are unhedged and the manifest benefits of this acquisition should be reviewed accordingly.”
For further information on the Company, please visit www.angusenergy.co.uk or contact:
Enquiries:
Angus Energy Plc www.angusenergy.co.uk
George Lucan Tel: +44 (0) 208 899 6380
