Thanks, but no thanks!
That seems to have been the general response to Cuadrilla’s parent company AJ Lucas’s attempts to winkle more cash from their beleaguered investors.
The results are now in and we can see that they managed to raise a gross total of Au$28.6 million from the sale of about 440 million shares.
This was made up of:
Au$ 24.7 million taken up by Kerogen
Au$ 1.5 million taken up by other institutional investors
Au$ 2.4 million from retail investors
The Kerogen investment resulted in no cash being provided as it was a debt for equity swap.
Total cash raised was therefore just over Au$3.9 million or just over £2 million. That’s enough to keep fracking operations going for about 3 weeks at Preston New Road.
They had hoped to raise a gross total of Au$ 46.3 million which would have left net cash proceeds of Au$ 21.6 million.
The share price today sits at Au£0.066 compared to the offer price of Au$0.065. A crumb of consolation for the few who decided to risk more money.
Where it will be in 2020 is anyone’s guess.