Gulfsands Petroleum plc (LON:GPX), the company that established an oil field in Syria before war broke out, has revealed plans for a £4mln extension to an existing funding facility and to delist from London’s AIM market.
The facility is with a group of investors - ME Investments, Waterford Finance & Investment Limited and Blake Holdings - and all three are backing the proposed delisting. Together they account for 83% of votes at an upcoming shareholder vote.
The company said it remains committed to Syria and continues to view its world class Block 26 asset as core to its strategy, and, it plans to work with the international community with a view to returning to Syria as soon as possible.
In the meantime, the company also intends to pursue potential acquisitions, and it said management is already in place.
Joe Darby, Gulfsands independent director, in a statement: "In the context of reviewing the future financing of the company, and its medium-term strategic objectives, an independent committee of the board was established to consider the proposal to delist the company's shares from AIM.
“That committee, which I chair, has concluded it is in the best interests of the company and its shareholders to de-list from AIM, while remaining as an unlisted public company.
“The committee concluded that there was minimal benefit in currently being listed particularly in the context of access to funding from the boarder capital markets, given that the only recent material sources of finance have been the major shareholders who have once again shown their commitment to the company though the facility extension.”