OilVoice - Desire Petroleum Announces Result of Open Offer

Desire Petroleum Announces Result of Open Offer

Tuesday, January 12, 2010

On 9 December 2009, the Board of Desire announced an Open Offer to raise gross proceeds of up to £20.3 million (approximately £19.9 million net of expenses) through the issue of up to 28,971,544 New Ordinary Shares by way of an Open Offer at an issue price of 70 pence per New Ordinary share.

The Open Offer closed at 11.00 a.m. on 11 January 2010. Under the Open Offer, valid applications have been received from Qualifying Shareholders in respect of 48,185,979 Open Offer Shares in aggregate, representing approximately 166.3 per cent. of the Open Offer Shares offered pursuant to the Open Offer.

Valid applications were received from Qualifying Shareholders for a total Basic Entitlement of 23,169,347 Open Offer Shares and all valid applications for Basic Entitlements will be satisfied in full.

Accordingly, 5,802,197 Excess Shares were available for subscription under the Excess Application Facility. Valid applications under the Excess Application Facility have been received in respect of 25,016,632 Excess Shares, representing approximately 431.2 per cent. of the Excess Shares available for subscription.

Applications under the Excess Application Facility have therefore been scaled back by 76.8 per cent., with fractions of Excess Shares being disregarded. Thus, by way of example, a Qualifying Shareholder who has validly applied for 1,000 Excess Shares will be allocated 232 Excess Shares.

Application has been made for the admission of 28,971,544 New Ordinary Shares to AIM. It is expected that admission and commencement of dealings in the New Ordinary Shares will become effective at 8.00 a.m. on 13 January 2010.

The total issued share capital of Desire following Admission will be 318,686,989 Ordinary Shares of 1 pence each.