Touchstone Exploration funding now complete
In the past week, Touchstone has dealt with the remaming funding required to meet the
Central Block Term Loan covenants.
It's been a bit of a shite show since the original funding fell through in May-June, even though
there was a legally binding contract. It's really hurt TXP over the past 5 months.
Announcement of financing.
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Announcement for offering to existing shareholders
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Closing of offering to the finacning and to existing shareholders raised US$9.33 million
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A few more details of the institutional investor and the board seat allocation
stockwatch.com!~MKTOIL-3745444/C/~MKTOIL
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".....Speaking of financial breathing room, Paul Baay's Trinidad-focused Touchstone Exploration Inc. (TXP) stayed unchanged at 23.5 cents on 416,600 shares, holding on to the penny it added on Friday after conditionally closing an $11.8-million private placement. A new investor has agreed to buy 57.4 million shares at 20.6 cents each. (The actual issue price is 11 pence -- Touchstone has a London listing and the subscriber is based in the United Kingdom.)
The new investor is Purebond, controlled by Solai Holdings, which is one of numerous investment vehicles of Indian billionaire Ramesh Shantilal Kansagra and his family. The family has its fingers in fuel retail and gas, hospitality, mineral exploration, oil and gas production, and more. Its oil and gas holdings have been on the rise lately; besides Touchstone, it announced last week that it is taking (via its NIPCO arm) a 19-per-cent interest in London-listed Nigerian oil producer Savannah Energy.
The financing is welcome news for Touchstone, which failed to close a planned financing over the summer and has been under pressure to scrape up enough money to continue its 2025 work program and meet the conditions of a prior loan agreement. A relieved Mr. Baay, Touchstone's president and chief executive officer, said the financing "fully satisfies" its outstanding loan obligations while allowing for a "revised" (scaled back) drill program. He added that the arrangement will also lead to "valuable expertise" being added to the board of directors. As a condition of the investment, the Kansagra family will be able to nominate one director to Touchstone's board, with the current word being that the nominee will be Bhupendra Kansagra, brother to the above Ramesh...."
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