Trinidad-based oil group Trinity Exploration & Production PLC (LON:TRIN) has abandoned attempts at a sale and will raise £11.9mln (US$15mln) as a part of a complete financial overhaul.
The funding will comprise a placing of new shares worth £9.3mln (US$11.25mln) at 4.68p, a 165% premium to the price when Trinity suspended its shares in July.
Existing shareholders and others have already agreed to put up US$10mln of this.
A convertible loan note will raise a further £2.6mln (US$3.28mln).
As part of the financial restructuring, the government and other state creditors have been offered a staggered repayment schedule for money they are owed.
Lender Citibank, meanwhile, has agreed to a major haircut of loans it has made to the group.
The bank will receive US$3.5mln as settlement of outstanding senior debt of US$9.95mln.
All parts of the restructuring, including the creditors proposal and funding, have to be approved and executed for it to go through.
Bruce Dingwall, Trinity’s executive chairman, said the proposals ended a period of prolonged uncertainty for Trinity.
They also give a strong foundation to move forward and to develop the group's valuable interests across the Onshore, East Coast and West Coast production areas.