Preferential rights issue 2016

Rights issue for new investments

Zhoda Investments has conducted a preferential rights issue to strengthen its capital base by SEK 22 million. The issue has been fully subscribed and the company has raised SEK 22,4 before issue costs. The funds will be used for (i) investments in unlisted European ventures and (ii) development of the Lelyaki oil field to increase production.

Through subscription in the rights issue, the shareholders will gain exposure to Zhoda Investments’ portfolio of unlisted European ventures with an annual return target exceeding 20 per cent. Zhoda Investments is actively pursuing new investments.

In addition, a twenty-year license extension is expected to be granted for the Lelyaki oil field. The new Western management of the Lelyaki partner and new proven sales channel for oil are catalysts for increasing production, profitability and cash flows.

The issue price of SEK 0.20 per share indicates a pre-money valuation of the entire company of SEK 4 million. The balance sheet is as for now consisting of SEK 30 million in cash provides downside protection.

The board will seek a new trading platform to increase liquidity in the share

 

Click here or here to see a video of CEO Robert Karlsson presenting the new share issue

Presentation of Zhoda investments and the rights issue (pdf)

Zhoda Investments Informationsmemorandum 20161019 (in Swedish)

Teaser 20161019 (in Swedish)

Press release 22 November 2016 – Zhoda Invesmtents’ rights issue fully subscribed

Press release 2 November 2016 – Zhoda Investments extends the subscription period

Press release 19 October 2016 – Zhoda investments commences the subscription period and publi…

Press release 9 September 2016 – Zhoda Petroleum Ukraine gives notice of EGM to widen its business operations and strengthen its capital base

Press release 7 October 2016 – Communiqué from EGM