- Om Tethys Oil
The Board of Directors of Tethys Oil AB has resolved to call for an extraordinary general meeting on Tuesday, 25 October 2016 to resolve on a redemption procedure of SEK 3.00 per share, corresponding to a distribution to the shareholders amounting to approximately SEK 103 million.
Tethys Oil has a strong financial position and continues to generate positive cash flow from operations. The company's capital structure target is to have a balanced approach to growth and shareholder distributions, with a long term capital structure target of a zero net cash position. Taking the company's capital structure target into account, it is the Board of Directors' view that further capital can be distributed to shareholders at this time while sufficient capital remains to also pursue growth.
The Board of Directors has decided to propose to the shareholders to resolve on a redemption procedure, whereby every share is split into one ordinary share and one redemption share. The redemption share is then automatically redeemed at SEK 3.00 per share. This corresponds to a distribution to shareholders amounting to SEK 102,643,578.
The redemption procedure is subject to approval by the shareholders at the extraordinary general meeting, which will be held on Tuesday, 25 October 2016. Further information regarding the Board of Directors' proposal will be presented in the notice and other documents prepared in advance of the extraordinary general meeting. The company will also publish an information brochure about the redemption procedure on its web page (www.tethysoil.com).
For further information, please contact
Magnus Nordin, Managing Director, phone +46 8 505 947 00
Morgan Sadarangani, CFO, phone +46 8 505 947 01
This information is information that Tethys Oil AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation.
Tethys Oil AB (publ)
Tethys Oil is a Swedish energy company focused on exploration and production of oil. Tethys Oil's core area is the Sultanate of Oman, where the company is one of the largest onshore oil concession holders with a current net production of about 12,000 barrels of oil per day. Tethys Oil also has exploration and production assets onshore Lithuania and France. The shares are listed on Nasdaq Stockholm (TETY).