Business
?1.04 million funding
?1.04 million funding.
About this update from Uk Oil & Gas Plc
[{"type":"text","content":"\n \nRNS Number : 6874V UK Oil & Gas Investments PLC 16 December 2013 \n \n\n16 December 2013\nUK Oil & Gas Investments Plc\n(\"UKOG\" or the \"Company\")\n \n £1.04 million funding\n \nUK Oil & Gas Investments Plc (AIM: UKOG) announces a conditional funding of £1.04 million comprised of a £540,000 placing at 0.8 pence per share and has entered into a £500,000 Placing and an Equity Swap Agreement with YA Global Master SPV, Ltd. (\"YAGM\") at 0.8 pence per share. YAGM has agreed with the Company that they will not dispose of any shares acquired under their agreement for an initial 2 month period.\n \nDavid Lenigas, the Company's Chairman, commented:\n \n\"This funding will be used to strengthen the Company's balance sheet and be used towards potential farm-ins and investments within the UK conventional oil and gas sector, and in accordance with the Company's stated investment strategy.\"\n \nPlacing:\n \nThe Company has raised £540,000 before expenses, by way of a placing (\"the First Placing Shares\") of 67,500,000 new ordinary shares (\"Placing Shares\") at a placing price of 0.8 pence per share.\n \nPlacing and Equity Swap:\n \nYAGM have subscribed for a total of 62,500,000 new ordinary shares (the \"Second Placing Shares\") in the Company at a price of 0.8p per share (\"Placing Price\") for a gross consideration of £500,000. Of this amount, £250,000 will be paid back by UKOG to YAGM under the Equity Swap Agreement from which UKOG is expected to receive subject to adjustment a base amount of £20,833 per month for a 12 month period. The final amount of these monthly funds received by the Company under the Equity Swap Agreement will be dependent on the future price performance of the Company's ordinary shares, as set out below.\n \nEquity Swap Agreement:\n \nThe Company and YAGM have entered into an equity swap agreement (\"the Equity Swap Agreement\") pursuant to which the Company will pay YAGM £250,000. In consideration for this payment, the Company will receive twelve monthly payments of £20,833, amounting to £250,000 in aggregate, between the date of admission of the Placing Shares to trading ...