Business
Funding Update and Resolution of Warranty Issues
Funding Update and Resolution of Warranty Issues.
About this update from Ascent Resources Plc
[{"type":"text","content":"\n \nRNS Number : 8715V Ascent Resources PLC 18 December 2013 \n \n\n \nAscent Resources plc\n \n(\"Ascent\" or the \"Company\")\n \nFunding Update, Issue of Equity and Resolution of Warranty Issues\n \nAscent Resources plc, the AIM listed European oil and gas exploration and production company is pleased to update the market as follows:\n \nFunding update\n \nThe Company has entered into a subscription agreement with Global Power Sources s.r.l. (\"GPS\"), the purchaser of Ascent's former Italian Subsidiary, Ascent Resources Italia s.r.l. (\"Ascent Italia\") for the issue of 83,333,334 new ordinary shares of 0.1 pence each in the capital of the Company (\"Subscription Shares\") at an issue price of 1.2p per Ordinary Share, raising £1 million for the Company (the \"Subscription\"). The Subscription Shares will be subscribed in two tranches of £500,000 each in January and February 2014.\n \nAdditionally Ascent has entered into a short-term loan facility of up to £500,000 with Darwin Strategic Limited (the \"Darwin Facility\"). Under the terms of the Darwin Facility, a 5% commitment fee will be payable on the full amount on first draw down. Interest will be payable at the rate of 12% per annum on any amounts drawn down. The Darwin Facility, which is not convertible, will be repayable in full, together with accrued interest, after 6 months.\n \nThe funds resulting from the Subscription and the Darwin Facility will allow t...