Ashurst advised Euroz Securities Limited and Canaccord Genuity (Australia) Limited, joint lead managers, bookrunners and underwriters to the entitlement offer by Cooper Energy Limited which seeks to raise up to $62.6 million.
The fully underwritten accelerated, non-renounceable entitlement offer, which has already raised $41.1 million from its institutional component, is of 1 share for every existing 2 shares in Cooper at an issue price of $0.285.
The retail component of the entitlement offer, expected to close on 15 November, is fully underwritten and will raise approximately $21.5 million through a 1 for 2 pro-rata non-renounceable entitlement offer at $0.285 per share.
Proceeds from the Entitlement Offer will be partially used to fund Cooper Energy's proposed acquisition of Santos Limited's Victorian gas assets.
Last month, Cooper and Santos entered into a binding agreement for the acquisition worth $62 million in cash and a possible $20 million further payment if certain milestones for the assets are achieved.
The Ashurst team was led by Corporate partner Antonella Pacitti who was assisted by lawyers Richard Tan and Rowan Krasnoff.
“It has been a real pleasure to support Euroz and Canaccord on this capital raising, which is already receiving strong support from investors,” Pacitti said.
New Shares issued under the Institutional Offer will rank equally with existing shares on issue and are expected to settle on Thursday, 3 November. New shares will be allotted on Friday, 4 November 2016 and will commence trading on a normal settlement basis on the
Australian Securities Exchange on the same day, Cooper said.
“We are delighted with the success of the Institutional Entitlement Offer and appreciate the resounding support we have received from both existing and new investors as we step up our gas strategy,” said the company’s David Maxwell.
“The acquisition of Santos’ Victorian Gas Assets is transformational for Cooper Energy with immediate impact on our production, reserves and resources and a major upgrade to the value opportunity available from our Gippsland Basin gas resources. It is a company-changing transaction and the recognition and response from institutional investors is extremely encouraging
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