Borders & Southern Petroleum plc has raised £2 million through a placing with an “ultra high net worth Middle Eastern investor” to develop its Darwin gas condensate discovery in the South Falkland Basin.
The company will issue 17,391,304 of its new ordinary shares, priced at a 42% premium of 11.5p per new ordinary share.
Borders will also issue 8,695,652 warrants, convertible into further ordinary shares at 20p per ordinary share up to a period of 18 months.
Net proceeds will fund fees for the licences, discovery area, technical and commercial studies, general & administrative expenses and to advance Darwin for commercial appraisal.
Chief executive officer Harry Baker said that the investor was “exceptionally well-connected and experienced”.
“As background, we have been talking to this investor for several months. In spite of the geopolitical backdrop, he has offered us £2 million at a 30% premium to the 10-day VWAP and an approximate 42% premium to Friday’s closing share price.
“The fundraise means that we are now fully funded until mid 2028 and represents a very modest 1.9% dilution for existing shareholders.”
Following admission, Borders’ total issued share capital will comprise 911,201,296 ordinary shares each with voting rights and none held in treasury.
As at 30 September 2026, Alan Brimacombe is the company’s largest investor with 135 million shares representing 15.11% of the issued share capital, followed by Zila Corporation with 113,793,052 shares (12.74%).