Tethys Petroleum Limited says that the US$47.7 million financing with AGR Energy Holdings Limited and related clawback of shares by Pope Asset Management, LLC will not now proceed. The Board of Tethys has separately received a further approach from Nostrum Oil & Gas PLC regarding a possible offer for the entire issued and to be issued share capital of Tethys. Following this approach, Tethys and Nostrum have negotiated a US$5 million loan financing in order to support short-term liquidity of Tethys during the period in which any formal offer may be implemented.
Update on Financing
Following further discussions and recent correspondence between AGR Energy and Tethys, during which AGR Energy indicated to the Company that it would require certain changes to the structure and terms of the Financing announced on July 1, 2015, the Company confirms that the Financing will not now proceed and the terms of the subscription agreements previously announced to the market, including the non-solicitation provisions, will no longer apply. Consequently, the extraordinary general meeting previously scheduled for August 28, 2015 has been cancelled and the Company is no longer able to draw down any of the US$5 million convertible loan agreed with AGR Energy Limited No. 1 in connection with the Financing.