Disposal of shareholding in UOG

RNS Number : 3769X

Rockhopper Exploration plc

27 August 2020

 

27 August 2020

Rockhopper Exploration plc

("Rockhopper or the "Company")

Disposal of shareholding in United Oil & Gas plc

Rockhopper Exploration plc (AIM: RKH), the oil and gas exploration and production company with key interests in the North Falkland Basin,  is pleased to announce the disposal of its entire shareholding in United Oil & Gas plc ("United").

The transaction involves the sale of  114,503,817  ordinary shares in United at a disposal price of 2.66 pence per share for total gross proceeds of approximately £3.0 million (approximately US$4.0 million). The disposal price represents a 6.7 per cent discount to yesterday's closing price of United's shares.  

The sale proceeds will be used to strengthen the Company's balance sheet.

Sam Moody, Chief Executive Officer, commented:

"The monetisation of our entire shareholding in United after a short holding period of under six months strengthens our balance sheet at a particularly challenging time for the sector. It also crystallises a strong cash return of $15.5 million from an original investment of $11.9 million four years ago, which has also generated $4 million of free cash flow during our period of ownership."

Enquiries:

Rockhopper Exploration plc

Sam Moody - Chief Executive Officer

Stewart MacDonald - Chief Financial Officer

Tel. [phone] (via Vigo Communications)

Canaccord Genuity Limited (NOMAD and Joint Broker)

Henry Fitzgerald-O'Connor/James Asensio

Tel. [phone]

Peel Hunt LLP (Joint Broker)

Richard Crichton

Tel. [phone]

Vigo Communications

Patrick d'Ancona/Ben Simons

Tel. [phone]

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 59 6/2014 ("MAR").

 

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