Petroceltic wins vote on $100m placing

Placing passed: Dublin vote goes Petroceltic's way after deal

Irish explorer Petroceltic International has gained shareholder backing for its $100 million fundraising plans after a compromise deal with a rebel shareholder.

The London-listed explorer said that all ordinary resolutions were passed at is extraordinary general meeting in Dublin, while the special resolution that had sought to block the new investment was rejected.

The result had been expected since a compromise was reached with Worldview Capital Management earlier this month that will see it name independent non-executive directors to the explorer’s board, as well as certain other changes to the relationship between the company and chairman Robert Adair’s Skye Investments.

Worldview Capital, which owns around 20% of Petroceltic, had threatened to block the entry of Dovenby Capital - with a $50 million investment to earn a 9% stake in the company - because it wanted the shares, but Petroceltic International viewed Dovenby Capital’s deal as a better one and did not want Worldview owning a blocking share of Petroceltic.

Dovenby Capital is an investment vehicle of Malaysian offshore player Bumi Armada’s former deputy chairman Dato Ahmad Fuad.

Shares in Petroceltic were trading down around 2% at £1.51 on London's AIM in the immediate aftermath of Thursday's vote.

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