DekelOil accepts Capital Loan Note conversions

PUBLISHED: 06 Jan 2014 @ 13:10 | Comments (0) |

DekelOil (LSE:DKL), the operator and 51% owner of an established vertically integrated palm oil project in Côte d’Ivoire, has accepted the conversion of four Capital Loan Notes totalling EUR570,000.

The Loan Notes will convert into 43,913,713 new ordinary shares of €0.00003367 each in the Company (‘New Ordinary Shares’) at a conversion price of 1.1 pence per share, which represents a 19% premium to the trading price of 0.925 pence when the conversion deed was signed by the noteholders. Application will be made for the New Ordinary Shares to be admitted to trading on AIM which is expected to be on or around 10 January 2014 (‘Admission’). The New Ordinary Shares are subject to a lock-in until 29 June 2014 with an additional Restricted Period of six months ending 29 December 2014.

DekelOil Executive Director Lincoln Moore said, “The conversion of the Capital Loan Notes and the acceptance of the dealing restrictions shows confidence from the loan note holders in DekelOil’s business model and importantly, represents a significant reduction in holding company debt. This will be positive for the Company as we implement our strategy of evolving into a productive and cash generative palm oil company in Cote d’Ivoire in 2014.”

On Admission of the New Ordinary Shares, the Company’s issued share capital will consist of 1,347,495,908 Ordinary Shares.

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