Beach Energy Limited (ASX: BPT) this week completed the institutional part of its 3 for 14 accelerated non-renounceable pro-rata entitlement offer of new fully paid ordinary shares.
The offer had a near-record take up and was endorsed by Beach Energy's major shareholder Seven Group Holdings Limited (ASX: SVW) who made a pre-commitment to take up their full equity entitlement.
Beach Energy is an oil and gas company based in Adelaide. Beach holds interests in exploration and production tenements in Australia, Tanzania, New Zealand and Romania. Currently, the main operations are located in the Cooper/Eromanga Basins and Egypt.
The offer is to raise money for the acquisition of Lattice Energy for $1,585 million. The acquisition will more than double production and treble reserves for the company and give it increased exposure to the strong market fundamentals of the Australian east coast gas market.
Beach Energy's CEO, Matt Kay, said of the acquisition: "The acquisition of Lattice is transformational for Beach as it delivers a step-change in production, operating capabilities and geographic exposure."
