Trinity Exploration & Production PLC (LON:TRIN) shares fell 22% on Monday after the company announced it has conditionally raised US$20mln to repay debt, pursue acquisitions and accelerate drilling program in Trinidad.
The AIM-listed firm said it has conditionally raised US$18mln by placing of 56.3mln new ordinary shares at an issue price of 15p each and the conditional subscription of over 35.1mln new ordinary shares.
READ: Trinity Exploration & Production profits boosted by improved oil prices
Trinity said it also intends to provide all qualifying participants with the opportunity to subscribe for up to 10.2mln new ordinary shares at 15p to raise up to US$2mln.
Bruce Dingwall CBE, Executive Chairman of Trinity, commented: "This oversubscribed fundraising is a pivotal moment for the Company. Having focused on low cost production and growth opportunities following the restructuring of our balance sheet in early 2017, this will enable the Company to effect a step-change in production and development opportunities.”
He added: “The fact that we will be debt free and in a position to further develop our significant asset base means that we will be able to deliver further value and increased operating earnings to our shareholders.”
In morning trading, Trinity’s shares fell 21% to 16.5p.