Reference is made to the stock exchange notice dated 17 November 2010 regarding a contemplated private placement of up to 45 million new shares in DNO directed towards Norwegian and international institutional investors. The Board of Directors (the "Board") of DNO is pleased to announce that the Private Placement has been successfully subscribed for and allocated.
The book-building period for the private placement closed on 17 November 2010 at 19:30 CET and the Board has resolved to allocate 45 million new shares at a subscription price of NOK 8 per share. Gross proceeds amount to approximately NOK 360 million. The private placement was more than 100 per cent oversubscribed at the subscription price. Allocation notices will be sent today, 18 November 2010. Payment of shares and delivery is expected to be 23 November 2010.
Use of proceeds from the private placement will be exploration and appraisal drilling beyond the current investment plans, new license entries and general corporate purposes. The Board of DNO resolved to waive pre-emptive rights for existing shareholders in the private placement to utilize an opportunity to capitalize the Company in the current capital market based on an accelerated book building process.
- DNO is entering an exciting period and has earlier announced at least five exploration wells to be drilled over the next year. Through this placement we are providing sufficient cash for exploration and appraisal drilling beyond the previously communicated investment plans. Additionally, the placement further strengthens the balance sheet, allowing us also to actively seek new license entries going forward, says Managing Director Helge Eide.
The Private Placement was managed by ABG Sundal Collier Norge ASA as Lead Manager and sole bookrunner and DnB NOR Markets as Co-Manager.
Oslo, 18 November 2010
DNO International ASA
Communication Director Tom Bratlie
Phone: +47 905 21 904
CFO Haakon Sandborg
Phone: +47 23 23 84 80
This notice is not for distribution to United States new services or for dissemination in the United States, Canada, Japan or Australia or elsewhere where such dissemination is not appropriate.
The contents of this announcement have been prepared by and are the sole responsibility of DNO International ASA ("DNO"). ABG Sundal Collier Norge ASA and DnB NOR Markets are acting exclusively for DNO and no one else and will not be responsible to anyone other than DNO for providing the protections afforded to their respective clients, or for advice in relation to the contemplated Private Placement and the contents of this announcement or any of the matters referred to herein.
The distribution of this announcement and other information in connection with the Private Placement may be restricted by law in certain jurisdictions. Persons into whose possession this announcement or such other information should come are required to inform themselves about and to observe any such restrictions.
This announcement may not be used for, or in connection with, and does not constitute, any offer to sell, or an invitation to purchase, any securities. The Private Placement will not be made in any jurisdiction or in any circumstances in which such offer or solicitation would be unlawful.
The securities referred to herein have not been and will not be registered under the US Securities Act of 1933, as amended, and may not be offered or sold in the United States or to US persons unless the securities are registered under the Securities Act, or an exemption from the registration requirements of the Securities Act is available. No public offering of the securities will be made in the United States.