Update on Subscription by Global Power Sources

RNS Number : 7952L

Ascent Resources PLC

09 July 2014

 



Ascent Resources plc

("Ascent" or "the Company")

Update on Subscription by Global Power Sources s.r.l. ("GPS")

Further to the announcement dated 5 June 2014, Ascent wishes to provide an update on the completion of the subscription for new ordinary shares in the capital of Ascent by GPS and the associated redemption and conversion of the 2013 and 2014 Convertible Loan Notes.  Unless otherwise defined, all capitalised terms in this announcement shall have the meaning given to them in the Circular sent to shareholders on 16 May 2014.

As at close of business on 8 July 2014, the £11.7 million payment due from GPS in respect of the Initial Subscription had not been received by Ascent.  

The Board of Ascent has been informed by GPS that GPS's joint venture partner, Salomon Werner HAB Privee Limited formerly known as Salomon Partners WRS Werner Rothschild & CIE Limited ("WRS") has not placed GPS in funds to complete the Initial Subscription due to WRS not having received the overseas regulatory clearances required to effect the transfer of such funds.

Accordingly, the conditions precedent to the Initial Subscription have not been satisfied and thus the Initial Subscription has not yet been completed.  This in turn means that the conversion and redemption of the 2013 and 2014 Convertible Loan Notes, which was conditional upon completion of the Initial Subscription, has not yet taken place.

The Board of Ascent is in close dialogue with GPS and WRS,  regarding the timing of the receipt of the funds in respect of the Initial Subscription. However, the Board is now also in discussions with alternative providers of funding, including current stakeholders, in the event that the funds are not received within a reasonable timeframe.

Further announcements will be made in due course.

Enquiries:

Ascent Resources plc.

Clive Carver

Tel: [phone]

finnCap (Nominated Adviser and Broker)

Charlotte Stranner / Matthew Robinson 

Tel: [phone]

 

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