Dart Energy provided update on the progress of the intended flotation (IPO) of its wholly owned subsidiary, Dart Energy International Ltd (DEI), on the AIM market of the London Stock Exchange Limited (LSE).
All of the preparatory work in relation to the proposed IPO has been completed.
Marketing of the IPO to qualified institutions and investors commenced in October, with a view to completing the IPO by the end of November 2012. To-date, notwithstanding difficult equity market conditions, over 100 parties have met with senior management of DEI in the United Kingdom, Europe and Asia.
In the course of this marketing process, an industry participant with oil and gas interests in Asia proposed to DTE a broader ranging strategic relationship with DEI, which would include a material participation by that industry participant in the IPO.
The Boards of both DEI and DTE believe that a transaction of this nature could achieve a number of long-term strategic, operational and financial benefits for the DEI business, especially in Asia, and will strengthen the IPO.
The Boards of both DEI and DTE therefore believe that it is in the best interests of shareholders for this potential strategic opportunity to be fully evaluated and, if appropriate, secured, as a precursor to proceeding with the IPO.
Whilst there is no assurance of this strategic transaction being finalised, the Board expects to be in a position to update the market on the status of the potential transaction by the end of the year. The IPO process will resume immediately thereafter, with a view to completing the IPO process at the earliest appropriate opportunity in 2013.
[mappress] LNG World News Staff, November 23, 2012