Business
Successful Fund Raise of £500,000
Successful Fund Raise of £500,000.
About this update from Prospex Energy Plc
[{"type":"text","content":"\n \n \n Prospex Energy PLC / Index: AIM / Epic: PXEN / Sector: Oil and Gas\n \n \n \n \n \n 5 September 2022\n \n \n \n \n \n \n Prospex Energy PLC\n \n \n \n ('Prospex' or the 'Company')\n \n \n \n \n \n \n \n \n Successful Fund Raise of £500,000\n \n \n \n \n Proceeds completes the funding of costs to first gas production at the Selva Field\n \n \n \n \n \n \n Prospex Energy PLC (AIM: PXEN), the AIM-quoted investment company focused on European gas and power projects, is pleased to announce that it has raised £500,000 via the issue of unsecured Convertible Loan Notes ('the Loan Notes') to existing and new investors ('the Subscribers').\n \n \n \n Highlights\n \n \n \n ·\n £500,000 raised via the issue of unsecured Convertible Loan Notes of denomination £1 due end of March 2024.\n \n \n ·\n Net proceeds completes the funding of the Company's share of development costs (totalling c. £2.3 million, which includes £200,000 of contingency) at the Selva gas discovery on the Podere Gallina Permit, in the Po Valley in Italy, as well as providing additional working capital to the Company.\n \n \n ·\n The Loan Notes are convertible into new Ordinary Shares at a price of 5.5p per ordinary share, the closing price on Friday 2 September 2022, at any time at the election of the investor. Existing share authorities are sufficient to satisfy any potential conversion of the maximum approved Loan Notes authority (of £500,000) loan plus any accrued interest.\n \n \n ·\n Interest at 15% is payable quarterly compounded monthly, with the first interest payment on 30 September 2022 to be capitalised and added to the loan principal rather than paid in cash.\n \n \n ·\n Loan principal to be paid in three tranches (end of September 2023, end December 2023 and end March 2024). These repayment terms mirror those of the £1.87 million convertible loan notes issued in July 2022.\n \n \n ·\n This debt/equity hybrid financing allows the Company to fund the all the development costs to first gas at the Selva field, which is targeted by Q2 2023.\n \n \n \n \n \n \n Mark Routh, Prospex's CEO, commented:\n \n \n \n \"We are extremely pleased to have completed the financing to first gas, together with providing additional working capital, while the capital markets are still challenging. \n \n \n \n \n \n \"The p...