Altona Energy secures two million-pound financing facility

Altona Energy, the AIM-listed energy company, has entered into a two million-pound equity financing facility (EFF) with Darwin Strategic, a majority owned subsidiary of Henderson Global Investors' Volantis Capital.

Altona Energy, the AIM-listed energy company, has entered into a two million-pound equity financing facility (EFF) with Darwin Strategic, a majority owned subsidiary of Henderson Global Investors' Volantis Capital.

The EFF agreement with Darwin and Henderson Volantis provides Altona with a facility of up to £2.0m, which -subject to certain limited restrictions- can be drawn down at any time over the next three years.

Altona reported that it was under no obligation to make a draw down and could make drawdowns at its discretion, up to the total value of the EFF, by way of issuing subscription notices to Darwin.

In conjunction with the EFF, Altona disclosed that it had entered into a warrant agreement with Darwin dated April 12th, to subscribe for up to 4.5m ordinary shares, such warrants to be exercisable for up to 36 months at a 30% premium to closing mid-market price from the date of the warrant agreement.

Christopher Lambert, Chairman of Altona Energy, commented: "This new £2.0m facility gives Altona access to efficient, cost effective financing, as needed. The facility can be used entirely at our discretion and considerably de-risks our future financing."

Altona Energy's share price was up 4.0% to 1.30p at 09:48 on Monday.

MF

Recommended

Why it pays to face up to your investment mistakes
Investment strategy

Why it pays to face up to your investment mistakes

Buying stocks can be a complicated business. But selling stocks can be tricky, too – even if you sell for the right reasons. Max King explains how to …
17 Sep 2021
Share tips of the week – 17 September
Share tips

Share tips of the week – 17 September

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
17 Sep 2021
Royal Mail will deliver for investors – here's how to play it
Trading

Royal Mail will deliver for investors – here's how to play it

Royal Mail Group has found its feet in the past 18 months and looks cheap. Matthew Partridge looks at how to trade the shares.
14 Sep 2021
The times may be changing, but don’t change how you invest
Small cap stocks

The times may be changing, but don’t change how you invest

We are living in strange times. But the basics of investing remain the same: buy fairly-priced stocks that can provide an income. And there are few be…
13 Sep 2021

Most Popular

Two shipping funds to buy for steady income
Investment trusts

Two shipping funds to buy for steady income

Returns from owning ships are volatile, but these two investment trusts are trying to make the sector less risky.
7 Sep 2021
Should investors be worried about stagflation?
US Economy

Should investors be worried about stagflation?

The latest US employment data has raised the ugly spectre of “stagflation” – weak growth and high inflation. John Stepek looks at what’s going on and …
6 Sep 2021
How you can profit from the power of the grey pound
Share tips

How you can profit from the power of the grey pound

Higher life expectancy and surging asset prices have proved a boon for the baby-boomer generation, which has accumulated vast wealth. Younger generati…
10 Sep 2021