ECHO Echo Energy Plc

TIDMECHO

RNS Number : 8206C

Echo Energy PLC

13 October 2022

13 October 2022

Echo Energy plc

("Echo" or the "Company")

Result of Bondholder Meeting and Directorate Change

Echo Energy plc, the Latin American focused energy company, is pleased to announce that at the meeting of the holders of the Company's Luxembourg listed EUR 20.0m 8.0% secured notes (the "Notes") held earlier today (the "Noteholder Meeting"), the proposals to restructure the Notes as announced on 5 September 2022 (the "Proposals") were duly passed by the requisite majority with voting instructions representing EUR 10.5m of the Notes lodged by holders of the Notes, with 66.67 per cent. of votes cast in favour.

The Proposals remain conditional upon the approval by the Company's shareholders at a General Meeting to be held at 2:00 p.m. on 24 October 2022 at the offices of Fieldfisher LLP, 2 Swan Lane, London, EC4R 3TT (the "GM") and should approval be given, EUR15.0 million of existing debt principal, together with accrued interest thereon, will be converted into new ordinary shares in the Company ("Ordinary Shares") at a 76.4 per cent. premium to the closing mid-market price per Ordinary Share on 12 October 2022:

-- 50% of the outstanding principal amount of the Notes (an amount of EUR10.0 million), together with accrued interest thereon, will be converted into new Ordinary Shares at a price of 0.45 pence per Ordinary Share;

-- Interest on remaining Notes reduced to 2% per annum on any interest accruing from 30 September 2022;

   --    Note maturity will be extended to 15 May 2032; and 

-- EUR5.0 million 8.0% secured convertible debt facility and remaining accrued interest will be converted in full into new Ordinary Shares at a price of 0.45 pence per Ordinary Share on the terms announced by the Company on 12 August 2022.

Directorate Change

Following the successful outcome at today's Noteholder Meeting, Marco Fumagalli, Non-Executive Director, has informed the Company of his intention to step down from the Board on 13 January 2023.

Martin Hull, Echo's Chief Executive Officer, commented:

"This is a very significant moment for Echo Energy. It marks the successful culmination of efforts over recent years to restructure the balance sheet and overcome the financial constraints that have been holding the company back. We are delighted to have progressed the process and are very grateful for the support of our noteholders, and of course shareholders.

The restructuring combined with our strategy to grow production in Santa Cruz and the ongoing delivery against these goals demonstrates the tangible progress Echo is making. We will continue to focus on delivering on our operational and commercial goals and unlock Echo's full potential.'"

James Parsons, Chairman, commented:

"Today is a red-letter day for the Company. We are delighted that the lenders have agreed to pass the proposals to restructure the bonds.

Marco has been instrumental to Echo's progress for many years and has also played a key role recently in mustering noteholder support to the changes announced today. We thank him for his contribution and wish him well as he moves onto other future endeavours."

For further information please contact:

 
 Echo Energy plc                      Via Vigo Communications Ltd 
  Martin Hull, Chief Executive 
  Officer 
 Cenkos Securities plc (Nominated     Tel: 44 (0)20 7397 8900 
  Adviser) 
  Ben Jeynes 
  Katy Birkin 
 Vigo Consulting Ltd (IR/PR           Tel: 44 (0)20 7390 0230 
  Advisor) 
  Patrick d'Ancona 
  Finlay Thomson 
 Arden Partners plc (Corporate       Tel: 44 (0)20 7614 5900 
  Broker) 
  Simon Johnson (Corporate Broking) 
  John Llewellyn-Lloyd (Corporate 
  Finance) 
 

Certain of the information contained within this announcement is deemed by the Company to constitute inside information as stipulated under The Market Abuse Regulation (EU 596/2014) pursuant to the Market Abuse (Amendment) (EU Exit) Regulations 2018. Upon the publication of this announcement via a Regulatory Information Service ("RIS"), this inside information is now considered to be in the public domain.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.

END

MSCFLFFIIRLVLIF

(END) Dow Jones Newswires

October 13, 2022 06:27 ET (10:27 GMT)

Echo Energy (LSE:ECHO)
Gráfica de Acción Histórica
De Mar 2024 a Abr 2024

Echo Energy (LSE:ECHO)
Gráfica de Acción Histórica
De Abr 2023 a Abr 2024