ASX Appendix 3B and Section 708A Notice

RNS Number : 2834J

Tlou Energy Ltd

08 September 2016

 

Tlou Energy Limited / EPIC: TLOU / Sector: Oil & Gas

Tlou Energy Limited ('Tlou' or 'the Company')

Appendix 3B and section 708A notice

Tlou Energy Limited, the AIM and ASX listed company focused on delivering power in Botswana and Southern Africa through the development of coal bed methane ('CBM') projects released the following announcements on the Australian Securities Exchange ("ASX") on 7 September 2016 as required under the listing rules of the ASX.

Appendix 3B

New issue announcement,

application for quotation of additional securities

and agreement

Information or documents not available now must be given to ASX as soon as available.  Information and documents given to ASX become ASX's property and may be made public.

Introduced 01/07/96  Origin: Appendix 5  Amended 01/07/98, 01/09/99, 01/07/00, 30/09/01, 11/03/02, 01/01/03, 24/10/05, 01/08/12, 04/03/13

Name of entity

Tlou Energy Limited

ABN

79 136 739 967

We (the entity) give ASX the following information.

Part 1 ‑ All issues

You must complete the relevant sections (attach sheets if there is not enough space).

1	+Class of +securities issued or to be issued		Ordinary Fully Paid Shares
2	Number of +securities issued or to be issued (if known) or maximum number which may be issued		31,578,947 Ordinary Fully Paid Shares under the Placement to sophisticated and professional investors described in the announcement lodged with the ASX 31 August 2016.
3	Principal terms of the +securities (e.g. if options, exercise price and expiry date; if partly paid +securities, the amount outstanding and due dates for payment; if +convertible securities, the conversion price and dates for conversion)		Ordinary Fully Paid Shares
4	Do the +securities rank equally in all respects from the +issue date with an existing +class of quoted +securities? If the additional +securities do not rank equally, please state: ·    the date from which they do ·    the extent to which they participate for the next dividend, (in the case of a trust, distribution) or interest payment ·    the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment		Yes
5	Issue price or consideration		$0.095 per new share
6	Purpose of the issue (If issued as consideration for the acquisition of assets, clearly identify those assets)		Issued to sophisticated and professional investors described in the announcement lodged with the ASX on 31 August 2016. Cash raised will be used to fund Tlou's on-going production testing at Selemo, achieving an initial independent reserves certification, completing environmental and mining licence approvals and working capital for its Lesedi CBM Project.
6a	Is the entity an +eligible entity that has obtained security holder approval under rule 7.1A? If Yes, complete sections 6b - 6h in relation to the +securities the subject of this Appendix 3B, and comply with section 6i		Yes
6b	The date the security holder resolution under rule 7.1A was passed		27 November 2015
6c	Number of +securities issued without security holder approval under rule 7.1		30,842,893
6d	Number of +securities issued with security holder approval under rule 7.1A		736,054
6e	Number of +securities issued with security holder approval under rule 7.3, or another specific security holder approval (specify date of meeting)		Nil
6f	Number of +securities issued under an exception in rule 7.2		Nil
6g	If +securities issued under rule 7.1A, was issue price at least 75% of 15 day VWAP as calculated under rule 7.1A.3?  Include the +issue date and both values.  Include the source of the VWAP calculation.		Yes Date issue price agreed: 31 August 2016 Issue price: $0.095 15 day VWAP price of securities traded on ASX prior to 31 August 2016 is $0.104 75% of VWAP: $0.078 Source of VWAP: IRESS
6h	If +securities were issued under rule 7.1A for non-cash consideration, state date on which valuation of consideration was released to ASX Market Announcements		Not Applicable
6i	Calculate the entity's remaining issue capacity under rule 7.1 and rule 7.1A - complete Annexure 1 and release to ASX Market Announcements		Total Combined Remaining Capacity [rule 7.1: Nil + rule7.1A: 19,825,875] = 19,825,875
7		+Issue dates Note: The issue date may be prescribed by ASX (refer to the definition of issue date in rule 19.12).  For example, the issue date for a pro rata entitlement issue must comply with the applicable timetable in Appendix 7A. Cross reference: item 33 of Appendix 3B.	7 September 2016
			Number	+Class
8		Number and +class of all +securities quoted on ASX (including the +securities in section 2 if applicable)	237,198,239	Ordinary Fully Paid Shares

		Number	+Class
9	Number and +class of all +securities not quoted on ASX (including the +securities in section 2 if applicable)	Unlisted options 1,500,000 500,00	Options exercisable at 14 cents expiry 29/11/2017 Options exercisable at 14 cents expiry 13/01/2018
10	Dividend policy (in the case of a trust, distribution policy) on the increased capital (interests)	Not Applicable

Part 2 ‑ Pro rata issue

11	Is security holder approval required?	Not Applicable
12	Is the issue renounceable or non-renounceable?	Not Applicable
13	Ratio in which the +securities will be offered	Not Applicable
14	+Class of +securities to which the offer relates	No Applicable
15	+Record date to determine entitlements	Not Applicable
16	Will holdings on different registers (or subregisters) be aggregated for calculating entitlements?	Not Applicable
17	Policy for deciding entitlements in relation to fractions	Not Applicable
18	Names of countries in which the entity has security holders who will not be sent new offer documents Note: Security holders must be told how their entitlements are to be dealt with. Cross reference: rule 7.7.	Not Applicable
19	Closing date for receipt of acceptances or renunciations	Not Applicable
20	Names of any underwriters	Not Applicable
21	Amount of any underwriting fee or commission	Not Applicable.
22	Names of any brokers to the issue	Not Applicable
23	Fee or commission payable to the broker to the issue	Not Applicable
24	Amount of any handling fee payable to brokers who lodge acceptances or renunciations on behalf of security holders	Not Applicable
25	If the issue is contingent on security holders' approval, the date of the meeting	Not Applicable
26	Date entitlement and acceptance form and offer documents will be sent to persons entitled	Not Applicable
27	If the entity has issued options, and the terms entitle option holders to participate on exercise, the date on which notices will be sent to option holders	Not Applicable
28	Date rights trading will begin (if applicable)	Not Applicable
29	Date rights trading will end (if applicable)	Not Applicable
30	How do security holders sell their entitlements in full through a broker?	Not Applicable
31	How do security holders sell part of their entitlements through a broker and accept for the balance?	Not Applicable

32	How do security holders dispose of their entitlements (except by sale through a broker)?	Not Applicable
33	+Issue date	Not Applicable

Part 3 ‑ Quotation of securities

You need only complete this section if you are applying for quotation of securities

34	Type of +securities (tick one)
(a)		+Securities described in Part 1

(b)

All other +securities Example: restricted securities at the end of the escrowed period, partly paid securities that become fully paid, employee incentive share securities when restriction ends, securities issued on expiry or conversion of convertible securities

Entities that have ticked box 34(a)

Additional securities forming a new class of securities

Tick to indicate you are providing the information or documents

35		If the +securities are +equity securities, the names of the 20 largest holders of the additional +securities, and the number and percentage of additional +securities held by those holders
36		If the +securities are +equity securities, a distribution schedule of the additional +securities setting out the number of holders in the categories 1 - 1,000 1,001 - 5,000 5,001 - 10,000 10,001 - 100,000 100,001 and over
37		A copy of any trust deed for the additional +securities

Entities that have ticked box 34(b)

38	Number of +securities for which +quotation is sought
39	+Class of +securities for which quotation is sought
40	Do the +securities rank equally in all respects from the +issue date with an existing +class of quoted +securities? If the additional +securities do not rank equally, please state: ·    the date from which they do ·    the extent to which they participate for the next dividend, (in the case of a trust, distribution) or interest payment ·    the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment
41	Reason for request for quotation now Example: In the case of restricted securities, end of restriction period (if issued upon conversion of another +security, clearly identify that other +security)
		Number	+Class
42	Number and +class of all +securities quoted on ASX (including the +securities in clause 38)

Quotation agreement

1              +Quotation of our additional +securities is in ASX's absolute discretion.  ASX may quote the +securities on any conditions it decides. 

2              We warrant the following to ASX.

·              The issue of the +securities to be quoted complies with the law and is not for an illegal purpose.

·              There is no reason why those +securities should not be granted +quotation.

·              An offer of the ⁺securities for sale within 12 months after their issue will not require disclosure under section 707(3) or section 1012C(6) of the Corporations Act.

Note: An entity may need to obtain appropriate warranties from subscribers for the securities in order to be able to give this warranty

·              Section 724 or section 1016E of the Corporations Act does not apply to any applications received by us in relation to any +securities to be quoted and that no-one has any right to return any +securities to be quoted under sections 737, 738 or 1016F of the Corporations Act at the time that we request that the +securities be quoted.

·              If we are a trust, we warrant that no person has the right to return the +securities to be quoted under section 1019B of the Corporations Act at the time that we request that the +securities be quoted.

3              We will indemnify ASX to the fullest extent permitted by law in respect of any claim, action or expense arising from or connected with any breach of the warranties in this agreement.

4              We give ASX the information and documents required by this form.  If any information or document is not available now, we will give it to ASX before +quotation of the +securities begins.  We acknowledge that ASX is relying on the information and documents.  We warrant that they are (will be) true and complete.

Sign here:                 ............................................................    Date: ..7 September 2016.

                                (Director/Company secretary)

Print name:              Solomon Rowland.

== == == == ==

Appendix 3B - Annexure 1

Calculation of placement capacity under rule 7.1 and rule 7.1A for eligible entities

Introduced 01/08/12  Amended 04/03/13

Part 1

Rule 7.1 - Issues exceeding 15% of capital
Step 1: Calculate "A", the base figure from which the placement capacity is calculated
Insert number of fully paid +ordinary securities on issue 12 months before the +issue date or date of agreement to issue	187,156,319
Add the following: •    Number of fully paid +ordinary securities issued in that 12 month period under an exception in rule 7.2 •    Number of fully paid +ordinary securities issued in that 12 month period with shareholder approval •    Number of partly paid +ordinary securities that became fully paid in that 12 month period Note: •    Include only ordinary securities here - other classes of equity securities cannot be added •    Include here (if applicable) the securities the subject of the Appendix 3B to which this form is annexed •    It may be useful to set out issues of securities on different dates as separate line items	Nil 18,462,973 Nil
Subtract the number of fully paid +ordinary securities cancelled during that 12 month period	Nil
"A"	205,619,292

Step 2: Calculate 15% of "A"
"B"	0.15 [Note: this value cannot be changed]
Multiply "A" by 0.15	30,842,893
Step 3: Calculate "C", the amount of placement capacity under rule 7.1 that has already been used
Insert number of +equity securities issued or agreed to be issued in that 12 month period not counting those issued: •    Under an exception in rule 7.2 •    Under rule 7.1A •    With security holder approval under rule 7.1 or rule 7.4 Note: •    This applies to equity securities, unless specifically excluded - not just ordinary securities •    Include here (if applicable) the securities the subject of the Appendix 3B to which this form is annexed •    It may be useful to set out issues of securities on different dates as separate line items	30,842,893 Nil Nil
"C"	30,842,893
Step 4: Subtract "C" from ["A" x "B"] to calculate remaining placement capacity under rule 7.1
"A" x 0.15 Note: number must be same as shown in Step 2	30,842,893
Subtract "C" Note: number must be same as shown in Step 3	30,842,893
Total ["A" x 0.15] - "C"	Nil  [Note: this is the remaining placement capacity under rule 7.1]

Part 2

Rule 7.1A - Additional placement capacity for eligible entities
Step 1: Calculate "A", the base figure from which the placement capacity is calculated
"A" Note: number must be same as shown in Step 1 of Part 1	205,619,292
Step 2: Calculate 10% of "A"
"D"	0.10 Note: this value cannot be changed
Multiply "A" by 0.10	20,561,929
Step 3: Calculate "E", the amount of placement capacity under rule 7.1A that has already been used
Insert number of +equity securities issued or agreed to be issued in that 12 month period under rule 7.1A Notes: •    This applies to equity securities - not just ordinary securities •    Include here - if applicable - the securities the subject of the Appendix 3B to which this form is annexed •    Do not include equity securities issued under rule 7.1 (they must be dealt with in Part 1), or for which specific security holder approval has been obtained •    It may be useful to set out issues of securities on different dates as separate line items	736,054
"E"	736,054

Step 4: Subtract "E" from ["A" x "D"] to calculate remaining placement capacity under rule 7.1A
"A" x 0.10 Note: number must be same as shown in Step 2	20,561,929
Subtract "E" Note: number must be same as shown in Step 3	736,054
Total ["A" x 0.10] - "E"	19,825,875 Note: this is the remaining placement capacity under rule 7.1A

NOTICE UNDER SECTION 708A

On 31 August 2016, Tlou Energy Limited (ASX:TOU, AIM: TLOU) ("Tlou" or the "Company") announced a private placement to selected institutional and sophisticated investors at $0.095 per share raising a total of approximately $3,000,000 before costs.  Tlou confirms the completion of that placement by the issue of 31,578,947 fully paid ordinary shares ("New Shares") on 7 September.

The Corporations Act 2001 (Cth) ("Act") restricts the on-sale of securities issued without disclosure, unless the sale is exempt under section 708 or 708A of the Act. By the Company giving this notice, sale of the New Shares noted above will fall within the exemption in section 708A(5) of the Act.

Tlou gives this notice pursuant to section 708A(5)(e) of the Act and advises that:

1.  the New Shares, that have been issued are part of a class of securities quoted on the Australian Securities Exchange and AIM;

2.  the New Shares were issued without disclosure to investors under Part 6D.2 of the Act;

3.  the Company, as at the date of this notice, has complied with:

a.   the provisions of the Chapter 2M of the Act as they apply to the Company; and

b.   section 674 of the Act, and

4.  as at the date of this notice, there is no 'excluded information' of the type referred to in sections 708A(7) and 708A(8) of the Act, to be disclosed under section 708A(6)(e) of the Act.

DISCLOSURE UNDER ASX LISTING RULE 7.1A.4(B) AND 3.10.5A

In relation to the Placement shares issued as advised in the Appendix 3B released to ASX on 7 September 2016, and in accordance with Listing Rules 7.1A.4(b) and 3.10.5A the Company makes the following disclosures in respect of the shares issued:

a)    The issue of securities under the Placement resulted in the following dilution to existing holders of ordinary securities;

- Number of fully paid ordinary shares on issue prior to the issue of securities under the Placement was 205,619,292.

Placement issue under Listing Rule 7.1 (30,842,893 shares)	15%
Placement issue under Listing Rule 7.1A (736,054 shares)	0.4%
Total dilution as a result of Placement	15.4%

- Number of fully paid ordinary shares on issue following the Placement: 237,198,239.

b)    The Company issued shares as a placement under Listing Rule 7.1A to IK Botswana Investments Pty Ltd as this was considered to be the most expedient mechanism for raising funds in a timely and cost effective manner.

c)     No underwriting agreements were entered into with respect to the placement of securities under Listing Rule 7.1A.

d)    No fees were paid out of the funds raised pursuant to the placement of securities under LR 7.1A.

**ENDS**

For further information, please visit www.tlouenergy.com or contact:

Tlou Energy Limited	[phone]
Gabaake Gabaake, Acting Managing Director
Solomon Rowland, Company Secretary
Grant Thornton (Nominated Adviser)	[phone]
Jen Clarke, Colin Aaronson, Harrison Clarke
Brandon Hill Capital (Financial Adviser and Joint broker)	[phone]
Jonathan Evans, Alex Walker
Optiva Securities Limited (Joint broker)	[phone]
Jeremy King, Christian Dennis
St Brides Partners Limited (Public relations)
Elisabeth Cowell, Lottie Brocklehurst	[phone]

 

END

 

 

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