Aquitane Oil & Gas Limited is seeking to raise N15 billion through a Private Placement (PP), as offer may begin this week.
The company operating in the downstream petroleum products marketing sector of the Nigerian economy; intends to offer by way of Placement 1.5 billion Ordinary Shares of N1.00 each at N10.00 per share.
Aquitane Oil & Gas is seeking to raise this fund in order to consolidate its position in the downstream wholesale petroleum products market and integrate into the retail end of the value chain by systematically rolling out fuel stations.
Apart from this, the company also seeks to expand its product offering and use part of the proceeds of the Placement to restructure its balance sheet and refinance some of its short term borrowings with long term equity.
The document affirms that the ordinary shares now being offered will rank pari-passu in every respect with the existing shares of the Company.
In the event of an oversubscription, the document affirms that Aquitane Oil & Gas may issue shares out of the unissued shares of the company or some shareholders may divest a portion of their shares in order to provide for some of the oversubscribed portion.
The company has also made a N9.0 billion oversubscription allowance. Aquitane Oil & Gas is offering a minimum of 500,000 shares and multiples of 100,000 shares thereafter.
As at the time of filling in this report, the Memorandum of the Placement was dated June 2008, but a source close to Proshare NI confirmed that the Placement would commence next week as the company was doing a little amendment as regards the offer.
"It could not hold June 2008, there was a little amendment that delayed it from opening, but by next week the Placement will commence" the source affirmed.
Joint Issuing houses to the Placement include BGL Limited, Futureview Financial Services Limited and Diamond Bank Plc.