Zenith Energy has secured Norwegian institutional investment in Zenith by way of a private placement in Norway which has also attracted the participation of a high-net-worth private investor. 

The Private Placement has resulted in the issuance of 60 million new common shares in the share capital of the Company for a total consideration of NOK 6,000,000 (approximately £ 522,000 or EUR 600,000).

Subscription Price

The subscription price of the Placement Shares was NOK 0.10 (equivalent to approximately £0.087), a discount of approximately 8.75 percent in respect of the closing price of the Company's common shares admitted to trading on the Euronext Growth of the Oslo Stock Exchange on May 7, 2021. 

Use of Proceeds

Proceeds from the Private Placement will be deployed to fund planned field development activities to be performed in the recently acquired Ezzaouia, El Bibane and Robbana concessions in Tunisia, as well as providing additional general working capital to support Zenith's broader development activities in Africa.  

Andrea Cattaneo, Chief Executive Officer of Zenith, commented:
"In view of an unsolicited expression of interest from a well-respected Norwegian institutional investor wishing to take a position in the share capital of Zenith, the Board is very pleased to accept this investment which enables the entry of what is hoped to be a long-term, potential cornerstone Norwegian institutional investor.  

I am aware that this private placement might be perceived as in contradiction to my comment included in the market announcement dated April 30, 2021 in which I stated that additional capital raised by way of private placements would not be anticipated until the end of Q2 2021.

However, it is important to underline that this investment has been accepted on a strategic level and in order to reinforce the Zenith’s capital markets outlook in Norway, as well as providing additional funding for Zenith to implement its development and acquisition objectives. 

The management team and I are currently in Africa and we look forward to reporting on additional progress in due course.” 

KeyFacts Energy: Zenith Energy Tunisia country profile