KrisEnergy gets SGX approval in-principle for listing and quotation of S$169.5m rights shares

MAINBOARD-LISTED KrisEnergy said on Tuesday it has received approval in-principle from Singapore Exchange (SGX) for the listing and quotation of its S$169.5 million rights shares on the mainboard of SGX, subject to certain conditions.

The rights shares will be admitted to the official list of SGX and official quotation will commence after the certificates for the rights shares have been issued and the notification letters from the Central Depository have been despatched, said KrisEnergy in an announcement.

On June 15, the upstream oil and gas company launched a S$169.5 million rights issue to support its capital expenditure in growing oil and gas production in existing fields as well as near-term development projects.

The rights issue is expected to generate net proceeds of about S$165.6 million through the issuance of some 440 million new shares at S$0.385 apiece.

Keppel Corporation has subscribed for its full entitlement, which amounts to 137.9 million rights shares, or about 31.3 per cent of the rights issue.

Private equity energy specialist First Reserve has also undertaken to subscribe for about 43.9 per cent of its entitlement, amounting to 87.3 million rights shares or about 19.8 per cent of the rights issue.

The remaining rights shares, representing approximately 48.8 per cent of the rights issue, have been underwritten by Merrill Lynch (Singapore), the lead manager and underwriter for the rights issue.