JKX Enters Subscription Agreement with Benam Holdings
JKX Oil & Gas
|Friday, May 07, 2004
JKX Oil & Gas has signed a Subscription Agreement with Benam Holdings Limited which entitles Benam to subscribe for up to 2,250,000 ordinary shares of 10p each in JKX.
In accordance with the terms of the Agreement, Benam is subscribing for 2,250,000 shares at a subscription price of 81.17 pence per share, this being the closing middle market price for the three dealing days preceding the May 5th subscription date. Following the subscription, the number of JKX shares in issue will be 142,553,039. The new ordinary shares will rank pari pasu with the existing shares in issue. An application will be made for the new ordinary shares to be admitted to the Official List of the UKLA and to the London Stock Exchange's market for listed securities ('Admission').
This Agreement is in addition to the Subscription Agreement for 4,100,000 ordinary shares that JKX entered into with Benam on March 26th, and announced on March 29th. The admission of those shares was originally expected to take place on April 13th. However, it is now expected that the admission of these shares will take place in conjunction with the admission of the additional 2,250,000 shares on May 24th.
As stated in the Company announcement of March 29th: the agreement for Benam to subscribe for shares in JKX was designed to strengthen the relationship with Benam, who assisted JKX in achieving its first gas export from Ukraine in November 2003; the subscription proceeds will provide additional working capital for the Group's gas trading activities in association with Benam. Following the 5 May subscription Benam will have subscribed for the 6,350,000 maximum number of shares available to it in accordance with the agreement concluded on 26 March.