Renounceable Rights Issue
- 1 for 1 renounceable pro-rata offer to raise up to A$2.8 million
- Attractively priced for shareholders at A$0.007 per share - 57% discount to 15-Day VWAP
- One free attaching option for every new share issued
Funds raised through this offer will be used for working capital including the permitting and drilling in the PRB Project which Eon acquired in 2018.
Eon shareholders resident in Australia or New Zealand can subscribe for 1 new share for every 1 E2E share held on 11 February 2019 (Record Date) at an issue price of $0.007 (0.7 cents) per New Share.
The Entitlement Offer issue price represents:
- a 46% discount to the Company's last traded closing share price of A$0.013 per share on 1 February 2019, and
- a 57% discount to the 15-day VWAP of A$0.0162 per share.
The Entitlement Offer is partially underwritten, to $1.2 million, by CPS Capital Pty Ltd (CPS) who are also acting as the lead manager. Members of the Board have indicated that they will participate in the Entitlement Offer.
The Company has prepared a prospectus for the Entitlement Offer dated 6 February 2019 which accompanies this announcement (Prospectus). The Prospectus contains full details of the Entitlement Offer and should be read in full.
E2E shareholders with registered addresses in Australia and New Zealand on the Record Date are eligible to participate in the Entitlement Offer (Eligible Shareholders). As the Entitlement Offer is renounceable, investors who purchase an entitlement from an Eligible Shareholder during the entitlement trading period may exercise their entitlements as set out in the Prospectus (Eligible Entitlement Holders).
Eligible Shareholders and Eligible Entitlement Holders (other than directors and related parties of Eon) may, in addition to taking up their entitlement offered under the Entitlement Offer, apply for additional New Shares.
In accordance with section 615 of the Corporations Act and Listing Rule 7.7, Eon has appointed CPS as nominee to sell the entitlements for ineligible shareholders.
2019/02/06 Announcement of the Revised Entitlement Offer
2019/02/08 "Ex"-date (shares now trade without right to participate in the Revised Entitlement Offer) Entitlement trading to commence on a deferred settlement basis
2019/02/11 Record Date to determine entitlement to subscribe for new shares and new options 5.00pm (AEDT) on Monday, 11 February
2019/02/15 Entitlement Offer opens
2019/02/21 Entitlement trading ends
2019/02/22 New shares and new options quoted on a deferred settlement basis
2019/02/28 Closing date for Entitlement Offer 5.00pm (AEDT) on Thursday, 28 February
2019/03/06 Issue of new shares and new options and dispatch of confirmation of issue. Deferred settlement trading ends
2019/03/07 Normal trading of new shares and new options on ASX
Further details of the Entitlement Offer are set out in the Prospectus which will be sent to Eligible Shareholders. The Prospectus contains important information in relation to the Entitlement Offer, including details of how to participate in the Entitlement Offer, the eligibility criteria for participating in the Entitlement Offer, the key risks associated with an investment in the Company and further details on the Company. Persons should consider the Prospectus in deciding whether to acquire securities. Anyone wanting to acquire securities will need to complete the application form that will accompany the Prospectus.
The Entitlement Offer and any shortfall placed falls within an exception to ASX Listing Rule 7.1 and does not require shareholder approval.
Shareholders who have questions relating to the Entitlement Offer should call the Company Secretary, Simon Adams on business days prior to the closing date of the Entitlement Offer on the details set out below.
To view the Prospectus, please visit:
About EON NRG Ltd
EON NRG Ltd (ASX:E2E) is an USA onshore focused energy exploration and production company. The Company's growth path is through drilling of high impact oil exploration wells, supported by its 100% owned and operated long life oil and gas production assets and associated cashflow. The company also has a battery minerals division with prospective leases in Nevada which are at the early stages of low-cost exploration.
EON NRG Ltd