Seplat Energy - Transformational MPNU deal completion imminent
Seplat has published the prospectus for its reverse takeover of MPNU with the deal expected to close on Thursday, 12th December. This has been a long time coming and is transformational for the company, more than doubling production to 120kboed and nearly doubling 2P reserves to 0.9bnboe. The final payment on completion is US$672m for a total payment of US$800m including the deposit already paid. Funding is from Seplat's existing cash and revolving credit facility, together with a new US$300m three-year Advanced Payment Facility provided by the vendor, ExxonMobil. From a financial perspective, the deal trebles adjusted EBITDA although the impact on cash flow is more muted, reflecting the high cash tax rate paid by MPNU as a result of limited investment over the last years. That represents part of the opportunity Seplat now has to unlock value from this deal.
Capital Access Group advises companies on effective engagement with investors. Our experienced team offers market-leading access with hard-to-reach investors, including smaller institutions, pension funds and private client fund managers. These under-serviced investors are located not only in London but across the regions of the UK and Europe. We have an unrivalled knowledge of this extensive audience, to whom our published research is distributed, as well as to larger institutions. We offer this service as part of an integrated investor communications strategy to promote a company’s investment story.
Our clients, ranging from AIM to FTSE 100 companies, benefit from our professional, long-term relationships with investors. Not only do we identify and target investors, we contact them directly and relay their views back to clients with analysis, interpretation and advice. This ensures that our clients are in control of their investor engagement. The objective is to improve the reach and engagement with investors, which in turn strengthens the share price.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.