PERTH (miningweekly.com) – ASX-listed Karoon Energy has completed the retail component of its A$284-million capital raise.
The retail entitlement offer closed on November 12, raising A$109-million, priced at 93c a share.
Karoon on Friday said that eligible shareholders took up approximately 49% of the entitlements available under the retail offer, with the remaining shortfall shares to be taken up by the underwriters Macquarie Capital and Royal Bank of Canada, as well as sub-underwriters.
“Karoon’s new cash position now funds Karoon for its acquisition of the producing Baúna oil fields and the drilling of the Marina exploration well,” said Karoon MD Robert Hosking.
“Karoon is pleased to have received such solid support from both existing shareholders and new investors. We are looking forward to a very exciting operational phase, comprising production, development and exploration activities. This phase starts in early 2020 with many value defining milestones over the coming two years.”
Karoon earlier secured a $275-million senior secured term loan facility to partly fund the acquisition of the Baúna oil field, after announcing plans in July to acquire the oil field for $665-million.
The Baúna oil field consists of two producing oil reservoirs producing some 20-million barrels of oil a day of light sweet crude.