Emperor Energy (ASX:EMP) to raise $1m for exploration

• Emperor Energy (EMP) receives firm commitments to raise $1 million via a share placement
• A total of 33.33 million shares will be issued to professional and sophisticated investors at three cents
• Emperor also intends to give its creditors 833,333 new fully-paid ordinary shares at three cents for a total value of $25,000
• Emperor will use the funds to strengthen its balance sheet and provide funding for its upcoming exploration activities
• Shares in Emperor are steady on the market and are trading at 3.4 cents at 11:19 am AEST

Emperor Energy (EMP) has received firm commitments to raise $1 million via a share placement.

The company entered a trading halt on June 16 but did not disclose how much it intended to raise or what it would use the funds for.

The funds will be raised through the issue of 33.33 million shares to professional and sophisticated investors at three cents.

This price represents a 12 per cent discount to Emperor’s last traded price of 3.4 cents on June 17 and a 14 per cent discount to the five-day volume-weighted average price of 3.5 cents.

Emperor also intends to give its creditors 833,333 new fully-paid ordinary shares at three cents for a total value of $25,000.

Subject to receipt of funds, the shares will be issued on or around June 18.

Emperor will use the funds to strengthen its balance sheet and provide funding for its upcoming exploration activities.

In its March quarterly report, Emperor revealed it had $468,000 in total available funding, representing 1.92 quarters left of use.

Despite receiving strong interest to raise capital at the time, no decision to undertake a capital raising was made until now.

Shares in Emperor were steady on the market and were trading at 3.4 cents at 11:19 am AEST.