Frontera Resources Corporation Successful Fundraising & Director's Subscription (7504S)

TIDMFRR

RNS Number : 7504S

Frontera Resources Corporation

05 October 2017

5 October 2017

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED TO CONSTITUTE INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) NO. 596/2014. UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

NOT FOR PUBLICATION, RELEASE OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, THE REPUBLIC OF SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH SUCH PUBLICATION, RELEASE OR DISTRIBUTION WOULD BE PROHIBITED BY ANY APPLICABLE LAW.

Frontera Resources Corporation

("Frontera" or the "Company")

Successful Fundraising of GBP3.5 Million via PrimaryBid and Director's Subscription

Frontera Resources Corporation (AIM:FRR), the European focused oil and gas exploration and production company, announced on 4 October 2017 an underwritten offer to raise approximately GBP3 million (before expenses) at an offer price of 0.58 pence per ordinary share. The fundraising comprised a fully underwritten offer via PrimaryBid (the "Offer") in conjunction with a Director subscription (the "Subscription") (together the

"Fundraising").   The Offer was made exclusively available through PrimaryBid.com. 

The Company is delighted to announce that it has raised gross proceeds of GBP3,500,000 through the Fundraising, comprising of GBP2,500,000 raised via the Offer and GBP1,000,000 via a subscription by Zaza Mamulaishvili, a director of the Company. Accordingly, the Company will issue 603,448,276 new ordinary shares pursuant to the Offer and Subscription.

The Company has been advised by PrimaryBid that the Offer received a very strong response from private and institutional investors and was oversubscribed. In light of the demand received, under the terms of Offer, the Company decided to increase the offer by GBP500,000 to ensure more investors had a chance to participate.

The Offer was on a "first come, first served" basis and was closed early at approximately 6:45 p.m. on Wednesday, 4 October 2017.

Subscription

Concurrent with the Offer, Mr Mamulaishvili, a director of the Company, subscribed for GBP1,000,000 comprising 172,413,793 new ordinary shares at a price of 0.58 pence per share.

Following the Offer and Subscription, Mr Mamulaishvili's shareholding is as follows:

 
 Name                    Holding Prior to the   Shares issued pursuant   Holding following the            Holding as a 
                                 Subscription      to the Subscription               Offer and           percentage of 
                                                                                  Subscription   enlarged issued share 
                                                                                                               capital 
--------------------  -----------------------  -----------------------  ----------------------  ---------------------- 
 Zaza Mamulaishvili               841,845,433              172,413,793           1,014,259,226                   7.00% 
--------------------  -----------------------  -----------------------  ----------------------  ---------------------- 
 

Issue of Equity and Admission

The Company will allot and issue 603,448,276 new ordinary shares ("New Ordinary Shares") to the subscribers. Application will be made for New Ordinary Shares to be admitted to trading on AIM, which is anticipated to occur on or around 11 October 2017 ("Admission"). The New Ordinary Shares will rank pari passu with the existing Ordinary Shares of the Company.

Following Admission, the Company will have 14,497,798,708 Ordinary Shares in issue with voting rights. The Company does not hold any Ordinary Shares in treasury and accordingly there are no voting rights in respect of any treasury shares. The aforementioned figure of 14,497,798,708 Ordinary Shares may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company, under the disclosure requirements applicable to the Company.

Zaza Mamulaishvili, President and Chief Executive Officer, commented:

"The purpose of the Fundraising was to raise funds for the Company's drilling operations at Taribani complex, namely procuring materials and services in order to sidetrack/drill Dino-2 well and procure materials for T-45 well deepening. I am pleased to report that now we are well funded to commence the Taribani drilling operations. We are delighted to have used PrimaryBid's innovative platform that allowed private investors who have supported us in the past access to this Offer."

Enquiries:

 
 
Frontera Resources               (713) 585- 3216 
Zaza Mamulaishvili 
[e-mail] 
                                 [phone] 
  Cairn Financial Advisers LLP    0880 
Jo Turner / Liam Murray 
                                 [phone] 
WH Ireland Limited                1880 
James Joyce / Alex Bond 
                                 +44 (0) 203 
Yellow Jersey                     735 8825 
Tim Thompson 
Harriet Jackson 
Henry Wilkinson 
                                 +44 (0) 207 
PrimaryBid Limited                491 6519 
Dave Mutton 
 
 
 
Notification of a Transaction pursuant to Article 
 19(1) of Regulation (EU) No. 596/2014 
1     Details of the person discharging managerial 
       responsibilities/person closely associated 
a.    Name                        Zaza Mamulaishvili 
2     Reason for 
       notification 
a.    Position/Status             Director of Frontera Resources Corporation 
b.    Initial notification/       Initial Notification 
       Amendment 
3     Details of the issuer, emission allowance market 
       participant, auction platform, auctioneer or 
       auction monitor 
a.    Name                        Frontera Resources Corporation inc 
b.    LEI                         N/A 
4     Details of the transaction(s): section to be 
       repeated for (i) each type of instrument; (ii) 
       each type of transaction; (iii) each date; and 
       (iv) each place where transactions have been 
       conducted 
a.    Description                 Ordinary Shares of US$0.00004 each 
       of the financial 
       instrument, 
       type of instrument          ISIN: KYG368131069 
 
       Identification 
       Code 
b.    Nature of the               Subscription 
       transaction 
 
c.    Price(s) and                 Price(s)                 Volume(s) 
       volume(s) 
    0.58 pence 
     per share                                              172,413,793 
 
d.    Aggregated                  N/A 
       information 
 
       - Aggregated 
       Volume 
 
       - Price 
e.    Date of the                 4 October 2017 
       transaction 
f.    Place of the                XLON (AIM Market) 
       transaction 
 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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October 05, 2017 02:00 ET (06:00 GMT)