The book build process for SEPLAT Petroleum Development Company Plc $500mn IPO began today with the offer expected to price in a range of N535 to N700 per share.
The implied post money market capitalisation for the offer is expected to be between $1.8 billion and $2.2 billion, while the expected free float post listing will be up to 22.7 percent to 27.8 percent, according to the prospectus.
The lock up period (when no shares can be sold) is expected to be 180 days for MPI (50 percent of its stake), Quantum Power, Quantum Capital, Mercuria Capital, the Blakeney Group and expected to be 365 days for MPI (remaining 50 percent of its stake), A.B.C Orjiako & affiliates including Shebah Petroleum, Austin Avuru & affiliates including Platform Petroleum, and all Executive Directors.
In July 2010, SEPLAT acquired a 45 per cent participating interest in, and was appointed operator of, a portfolio of three onshore producing oil mining leases (OMLs 4, 38 and 41) located in the Niger Delta.
In June 2013, via a wholly-owned subsidiary, the Company entered into an agreement for the acquisition of a 40 per cent participating interest in the Umuseti/Igbuku marginal field area located within OPL 283 in the Niger Delta.
In 2013 the average gross operated oil production from OML’s 4, 38 and 41 was 51.3 thousand barrels per day, having grown by 269 percent from 13.9 thousand bpd in August 2010.
PATRICK ATUANYA
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