LXB Retail aims for £40 million; Syntroleum secures equity line; Atomic raises A$2.24 million

By Stephanie N. Rotondo

Portland, Ore., July 14 - LXB Retail Properties plc, a real estate investment company, said it hoped to raise £40 million from a private placement of ordinary shares.

The company will need to pass certain resolutions at an upcoming shareholder meeting in order to raise the funding. If passed, the proceeds will be used to further the company's business strategy.

Meanwhile, Syntroleum Corp. announced it had secured a $10 million credit line. According to a company spokesperson, the deal is similar to one done a few years back, which he noted was "something we were comfortable with."

Atomic Resources Ltd. completed a private placement of equity, according to a press release. The company pocketed over A$2 million from the financing transaction.

LXB aims for £40 million

LXB Retail Properties is planning to raise £40 million via a private placement of equity, according to a press release.

The deal is contingent upon passing certain resolutions at the company's extraordinary general meeting on Aug. 2.

If approved, the company will sell ordinary shares at 96p per share. The price per share represents an 8.8% premium to the closing middle market share price as of July 13.

Proceeds will be used to fund potential investment opportunities as they arise.

"Since the initial placing and admission of LXB Retail in October 2009, we have already successfully invested 85% of the money raised at that time on acquisitions at Greenwich and Biggleswade. The directors believe that these investments, which are in line with our stated investment policy, offer the potential for significant value enhancement for our shareholders," Phil Wrigley, chairman, said in the release.

"The placing will enable us to continue to pursue our strategy as we look to take advantage of further investment opportunities available," he added. "I am pleased with the continued support shown by our shareholders, and we look forward to the future with confidence."

LXB's equity (London: LXB) closed at 92p. Market capitalization is £100.79 million.

LXB Retail Properties is a St. Helier, Jersey-based incorporated closed-ended real estate investment company, whose strategy is to invest in out-of-town and edge-of-town retail assets.

Syntroleum secures credit line

Syntroleum, a Tulsa, Okla.-based manufacturer of synthetic fuels, said it had arranged a $10 million two-year line of credit with Energy Opportunity Ltd.

The company can request up to 24 drawdowns, with each draw equaling the lesser of 2.5% of market capitalization or a designated dollar amount, not to exceed $6.4 million.

The price per share will be calculated based on the daily volume-weighted average price of the shares during a 10-consecutive-trading-day period, less a 4% to 6% discount.

According to Ron Stinebaugh, senior vice president of finance, the facility is similar to one arranged in 2006 with Azimuth Capital, which is an affiliate of Energy Opportunity.

"It's effectively the same deal we did with them before," he said in an interview with Prospect News.

"Basically, it's a facility you can use to get $1 million or $2 million and raise it quickly," he continued. "It's a facility to raise money when we want to, if we want to."

When asked if there was any specific purpose for the credit line, he declined to comment.

Syntroleum's stock (Nasdaq: SYNM) fell 4 cents, or 2.14%, to $1.83. Market capitalization is $141.69 million.

Atomic raises A$2.24 million

Perth, Western Australia-based Atomic Resources settled a private placement of ordinary stock, taking in A$2.24 million.

The company issued approximately 14.94 million of the shares at A$0.15 each. The price per share represents a 25% discount to the July 14 closing share (Australia: ATQ) price of A$0.20.

Proceeds will be used for work programs at the company's Ngaka Coal project in Tanzania and for working capital.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.