Business
Proposed Issue of Equity
Proposed Issue of Equity.
About this update from Tower Resources Plc
[{"type":"text","content":"\n Tower Resources PLC\n21 December 2006\n\n\n\n Tower Resources Plc\n\n Proposed Issue of Equity\n\n\n\nTower Resources Plc ('Tower' or the 'Company'), the AIM listed oil and gas\nexploration and production company, today announces that it is proposing to\nraise £1.040 million before expenses by a placing of 52,000,000 new ordinary\nshares (the 'Placing Shares') at 2p per ordinary share (the 'Placing Price'), to\nbe issued in the following two tranches:\n\n\n\n(a) the first tranche of 45,000,000 Placing Shares (the 'First\n Tranche') and\n\n(b) the second tranche of 7,000,000 Placing Shares (the 'Second\n Tranche').\n\nThe Placing Shares are being placed with Agile Energy Limited, a privately held\nenergy investment company, chaired by Jeremy Asher, formerly CEO of PA\nConsulting Group, a leading management, systems and technology consulting firm.\nJeremy Asher will also be appointed as a Director of the Company conditional on\nthe admission of the First Tranche to trading on AIM. Information on Jeremy\nAsher will be announced on his appointment as Director as required under rule 17\nand schedule 2 paragraph (g) of the AIM Rules.\n\nThe Company intends to apply the proceeds of the placing to the development of\nits existing oil and gas assets, the expansion of its oil and gas portfolio and\nfor general working capital purposes.\n\nThe Placing Price equates to the closing mid market price of 2p on AIM as at 20\nDecember 2006, the date prior to the publication of this announcement. The\nPlacing Shares will, when issued and fully paid, rank pari passu in all respects\nwith the existing issued ordinary shares of the Company.\n\nApplication will be made for the First Tranche to be admitted to trading on AIM\nand trading is expected to commence in the First Tranche on 5 February 2007.\n\n\n\nApplication for the Second Tranche is conditional on the passing of resolution\n(s) granting the Company's directors authority to allot the Second Tranche\npursuant to Sections 80 and 95 of the Companies Act 1985 and any other\nresolutions required to permit the allotment of the Second Tranche to be\nallotted and issued by the Company (the 'Second Tranche Condition'). Following\nsatisfaction of the Second Tranche Condition, the subscription funds for the\nSecond Tranche are due no later than 30 April 2007 and it is expected that the\nSecond Tran...