AIM Sch 1 - Echo Energy Plc (5683Z)

TIDMECHO

RNS Number : 5683Z

AIM

18 December 2017

 
         ANNOUNCEMENT TO BE MADE BY THE AIM APPLICANT 
          PRIOR TO ADMISSION IN ACCORDANCE WITH RULE 2 
          OF THE AIM RULES FOR COMPANIES ("AIM RULES") 
-------------------------------------------------------------- 
 
 COMPANY NAME: 
-------------------------------------------------------------- 
 
   Echo Energy plc ("Echo" or the "Company") 
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 COMPANY REGISTERED OFFICE ADDRESS AND IF DIFFERENT, 
  COMPANY TRADING ADDRESS (INCLUDING POSTCODES) 
  : 
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   40 George Street 
   London 
   W1U 7DW 
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 COUNTRY OF INCORPORATION: 
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   England & Wales 
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 COMPANY WEBSITE ADDRESS CONTAINING ALL INFORMATION 
  REQUIRED BY AIM RULE 26: 
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   https://www.echoenergyplc.com/ 
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 COMPANY BUSINESS (INCLUDING MAIN COUNTRY OF 
  OPERATION) OR, IN THE CASE OF AN INVESTING COMPANY, 
  DETAILS OF ITS INVESTING POLICY). IF THE ADMISSION 
  IS SOUGHT AS A RESULT OF A REVERSE TAKE-OVER 
  UNDER RULE 14, THIS SHOULD BE STATED: 
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   From the launch of Echo in March 2017, the Company 
   has raised a total of GBP24 million in equity 
   and debt funding which the Directors intend 
   to deploy in the evaluation, drilling and development 
   of any assets acquired in line with the Company's 
   South and Central American strategy. 
 
   On 1 November 2017, the Board of Echo Energy 
   announced that the Company had entered into 
   a farm-in agreement (the "Farm-In") with Compañía 
   General de Combustibles S.A. ("CGC"), a privately-owned 
   affiliate of the Argentinian conglomerate Corporación 
   América International, for the acquisition 
   by Echo of a 50 per cent. working interest in 
   each of the Fracción C, Fracción D, 
   Laguna De Los Capones Concessions and the Tapi 
   Aike Exploration Permit, onshore Argentina (the 
   "Licences"). 
 
   The Licences all sit in the Austral basin (also 
   known as the Magallanes basin) in the Santa 
   Cruz province of Argentina, in the southern 
   part of the country, and cover a total of 11,153km(2) 
   . The acquisition of the Licences is expected 
   to provide the Company with a compelling blend 
   of multi trillion standard cubic feet gas exploration 
   potential, appraisal and production of both 
   oil and gas. 
 
   In view of the size of the Farm-In relative 
   to the Company, in aggregation with the changes 
   to the business since March 2017, the acquisition 
   constitutes a reverse takeover of Echo under 
   Rule 14 of the AIM Rules for Companies. 
 
   The Company will continue its evaluation of 
   the onshore Huayco and Rio Salado blocks in 
   Bolivia, but the acquisition of any interest 
   by the Company in the Huayco and/or Rio Salado 
   blocks remains contingent on final commercial 
   terms being agreed. 
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 DETAILS OF SECURITIES TO BE ADMITTED INCLUDING 
  ANY RESTRICTIONS AS TO TRANSFER OF THE SECURITIES 
  (i.e. where known, number and type of shares, 
  nominal value and issue price to which it seeks 
  admission and the number and type to be held 
  as treasury shares): 
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 Number of Ordinary Shares to be admitted: 
 
  Existing Ordinary Shares - 364,539,733 
  Placing Shares - 36,391,412 
  Total - 400,931,145 
 
  Nominal value of Ordinary Shares to be admitted: 
  0.25 pence 
 
  Placing Price of Ordinary Shares to be admitted: 
  17.5 pence 
 
  All of Echo Energy plc's AIM securities will 
  be freely transferable 
 
  No ordinary shares will be held as treasury 
  shares on Admission to AIM 
 
  The Company intends to undertake an open offer 
  of up to 11,428,572 Open Offer Shares to raise 
  gross proceeds of up to GBP2 million in January 
  2018, further details of which will be included 
  in a separate circular to Shareholders 
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 CAPITAL TO BE RAISED ON ADMISSION (IF APPLICABLE) 
  AND ANTICIPATED MARKET CAPITALISATION ON ADMISSION: 
-------------------------------------------------------------- 
 
   Capital to be raised on admission: GBP6.37 million 
 
   Anticipated market capitalisation on admission: 
   GBP70.2 million 
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 PERCENTAGE OF AIM SECURITIES NOT IN PUBLIC HANDS 
  AT ADMISSION: 
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   10.04% 
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 DETAILS OF ANY OTHER EXCHANGE OR TRADING PLATFORM 
  TO WHICH THE AIM COMPANY HAS APPLIED OR AGREED 
  TO HAVE ANY OF ITS SECURITIES (INCLUDING ITS 
  AIM SECURITIES) ADMITTED OR TRADED: 
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   Echo has in issue secured 8 per cent. loan notes 
   with an aggregate principal amount of EUR20 
   million maturing on 15 May 2022 (the "Loan Notes"). 
   The Loan Notes are admitted to the Official 
   List of the Luxembourg Stock Exchange and trading 
   on the Luxembourg Stock Exchange Euro MTF Market. 
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 FULL NAMES AND FUNCTIONS OF DIRECTORS AND PROPOSED 
  DIRECTORS (underlining the first name by which 
  each is known or including any other name by 
  which each is known): 
-------------------------------------------------------------- 
 
   James Parsons, Non-executive Chairman 
   Fiona Margaret Barkham (former names: MacAulay, 
   Oxley), Chief Executive Officer 
   Marco Fumagalli, Non-Executive Director 
   Stephen James Whyte, Non-Executive Director 
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 FULL NAMES AND HOLDINGS OF SIGNIFICANT SHAREHOLDERS 
  EXPRESSED AS A PERCENTAGE OF THE ISSUED SHARE 
  CAPITAL, BEFORE AND AFTER ADMISSION (underlining 
  the first name by which each is known or including 
  any other name by which each is known): 
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   Name                   Pre-Admission   Post-Admission 
   ---------------------  --------------  --------------- 
    Greenberry plc                11.01%           10.01% 
   ---------------------  --------------  --------------- 
    Pegasus Alternative 
     Fund Ltd                      7.34%            6.67% 
   ---------------------  --------------  --------------- 
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 NAMES OF ALL PERSONS TO BE DISCLOSED IN ACCORDANCE 
  WITH SCHEDULE 2, PARAGRAPH (H) OF THE AIM RULES: 
-------------------------------------------------------------- 
 
   N/A 
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 (i) ANTICIPATED ACCOUNTING REFERENCE DATE 
  (ii) DATE TO WHICH THE MAIN FINANCIAL INFORMATION 
  IN THE ADMISSION DOCUMENT HAS BEEN PREPARED 
  (this may be represented by unaudited interim 
  financial information) 
  (iii) DATES BY WHICH IT MUST PUBLISH ITS FIRST 
  THREE REPORTS PURSUANT TO AIM RULES 18 AND 19: 
-------------------------------------------------------------- 
 
        (i) 31 December 
 
        (ii) 30 June 2017 
 
        (iii) 30 June 2018, 30 September 2018, 30 June 
        2019 
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 EXPECTED ADMISSION DATE: 
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   4 January 2018 
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 NAME AND ADDRESS OF NOMINATED ADVISER: 
-------------------------------------------------------------- 
 
   Smith & Williamson Corporate Finance Limited 
   25 Moorgate 
   London 
   EC2R 6AY 
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 NAME AND ADDRESS OF BROKER: 
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   Hannam & Partners (Advisory) LLP 
   2 Park Street 
   London W1K 2HX 
 
   Shore Capital Stockbrokers Limited 
   14 Clifford Street 
   London W1S 4JU 
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 OTHER THAN IN THE CASE OF A QUOTED APPLICANT, 
  DETAILS OF WHERE (POSTAL OR INTERNET ADDRESS) 
  THE ADMISSION DOCUMENT WILL BE AVAILABLE FROM, 
  WITH A STATEMENT THAT THIS WILL CONTAIN FULL 
  DETAILS ABOUT THE APPLICANT AND THE ADMISSION 
  OF ITS SECURITIES: 
-------------------------------------------------------------- 
 
   The admission document, which will contain full 
   details about Echo Energy plc and the admission 
   of its ordinary shares, will be available from 
   the Company's website at https://www.echoenergyplc.com/ 
   . 
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 DATE OF NOTIFICATION: 
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   18 December 2017 
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 NEW/ UPDATE: 
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   NEW 
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This information is provided by RNS

The company news service from the London Stock Exchange

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December 18, 2017 03:00 ET (08:00 GMT)