Loyz to acquire Primeline Energy in RTO deal; plans transfer to mainboard

Singapore

LOYZ Energy on Tuesday announced that it would acquire oil and gas company Primeline Energy Holdings (PEH) for about S$197 million, and seek a transfer of its listing from Catalist to mainboard thereafter.

The consideration for the proposed acquisition payable by Loyz to PEH shareholders will be satisfied entirely by the issue of 1.79 billion new ordinary shares at S$0.11 apiece. Accordingly, the proposed acquisition, if completed, is expected to constitute a reverse takeover (RTO) of Loyz, said the company in a statement. Loyz will then seek a transfer of its listing from Catalist to the mainboard of Singapore Exchange "concurrent with the completion of the proposed acquisition", it said. "Assuming the completion of the acquisition by PEH of Prime Petroleum Corporation from Victor Hwang (first announced on May 11), PEH and its subsidiaries will own 49 per cent and China National Offshore Oil Company (CNOOC) will own 51 per cent respectively of Block 25/34," Loyz said.