Emmerson Plc / Ticker: EML / Index: LSE
/ Sector: Mining
12 December 2024
Emmerson
PLC
("Emmerson" or the "Company")
Additional Issuance of Shares and Rights
and Update on Notice of Dispute with Moroccan
Government
Emmerson Plc ("Emmerson" or the "Company"), the Moroccan focused potash
development company, today announces the additional issue of shares
and rights to the Board and Management of the Company and also
provides an update on its position with respect to its assets and
investments in Morocco.
Additional Issuance of Shares and
Rights
Per the announcement dated 28
October 2024, in which the Company notified that the Board and
Management would be taking no, or reduced, cash remuneration to
protect the balance sheet of the Company, the following awards have
been proposed via consulting contracts to ensure continued
engagement and alignment as we enter a very important period (the
"Awards").
The Awards being issued to each of
the members of the Board and Management will take the form of an
issue of ordinary shares of no-par value in the capital of the
Company in lieu of cash payments which have been waived (the
"Award Shares") and follows
the successful closing of the funding announced on 6 December 2024
in which the Company successfully raised £0.85m to finance the
ongoing strategic initiatives of the Company which includes
engagement with a number of potential litigation
funders.
The Award Shares are being issued to
each of the members of the Board and Management on the following
basis (the "Initial
Issue"):
|
Name
|
Position/status
|
Number of Existing Ordinary
Shares
|
Number of Award
Shares
|
Number of Ordinary Shares
held following Admission
|
% of issued share capital
held following Admission
|
|
Graham Clarke
|
Executive Director, CEO
|
2,207,553
|
6,000,000
|
8,207,553
|
0.64%
|
|
Hayden Locke
|
Chairman
|
10,082,352
|
3,000,000
|
13,082,352
|
1.02%
|
|
Robert Wrixon
|
Non-executive Director
|
47,771,872
|
3,000,000
|
50,771,872
|
3.96%
|
In addition to the above, the
Company announces that a further issue of Award Shares will be made
to those members of the Board and Management in the table above
once the Company has successfully secured litigation funding, as
part of its ongoing dispute with the Moroccan Government (the
"Further Issue"). As part
of the Further Issue, these members of the Board and Management
will receive the same allocation of Award Shares as have been made
under the Initial Issue of Award Shares.
The Company will make a further
announcement in respect of the Further Issue of Award Shares once
it is appropriate to do so.
Admission and Total Voting Rights
Application has been made to the
London Stock Exchange for the Award Shares to be admitted to
trading on AIM ("Admission") and it is expected
that Admission will become effective and dealing in the Placing
Shares will commence on or around the 18 December 2024. The
Award Shares will rank pari
passu with the existing ordinary shares of the
Company.
Following Admission, the enlarged
issued share capital of the Company will comprise of 1,281,866,195
ordinary shares of no-par value each. No ordinary shares are
held in Treasury. The total number of voting rights in the Company
is therefore 1,281,866,195.
The above figure of 1,281,866,195
ordinary shares may be used by shareholders of the Company as the
denominator for the calculations by which they will determine if
they are required to notify their interest in, or a change in their
interest in, the share capital of the Company under the Financial
Conduct Authority's Disclosure Guidance and Transparency
Rules.
Update on Notice of Dispute with Moroccan
Government
Further to the Company's
announcement on 1 November 2024 and 6 December 2024, the Company
notes that there have been no further developments with regards to
the Company's investment dispute with the Government of the Kingdom
of Morocco.
The Company will provide further
updates on the status of the dispute as and when they are able
to.
**ENDS**
|
For further information, please
visit www.emmersonplc.com,
follow us on Twitter (@emmerson_plc), or contact:
|
Emmerson Plc
Graham Clarke / Hayden
Locke
|
+44 (0)
207 138 3204
|
|
Panmure Liberum Limited (Nominated Adviser and Joint
Broker)
Scott Mathieson / Will
King
|
+44 (0) 20
3100 2000
|
|
Share Capital Partners LLP (Joint Broker)
Damon Heath / Isabella
Pierre
|
+44 (0)
207 186 9927
|
|
|
|
Notes to
Editors
Emmerson has been focused on
advancing the Khemisset project ("Khemisset" or the "Project") in
Morocco into a low cost, high margin supplier of potash, and the
first primary producer on the African continent. With an initial
19-year life of mine, the development of Khemisset is expected to
deliver long-term investment and financial contributions to Morocco
including the creation of permanent employment, taxation, and a
plethora of ancillary benefits. As a UK-Moroccan partnership, the
Company has been working towards significant international
investment over the life of the mine.
Morocco is one of the leading
phosphate producers globally and the development of this mine is
set to consolidate its position as the most important fertiliser
producer in Africa. The Project has a large JORC Resource Estimate
(2012) of 537Mt @ 9.24% K2O, with significant additional
exploration potential, and is perfectly located to support the
expected growth of African fertiliser consumption whilst also being
located on the doorstep of European markets. The need to feed the
world's rapidly increasing population is driving demand for potash
and Khemisset is well placed to benefit from the opportunities this
presents. The Feasibility Study released in June 2020 indicated the
Project has the potential to be among the lowest capital cost
development stage potash projects in the world and also, as a
result of its location, one of the highest margin projects. Updated
financial estimates published in February 2024 indicated a net
present value of US$2.2 billion, with an internal rate of return of
approximately 40%.