29 July 2013
Watson, Farley & Williams (“WFW”), a leading international law firm, is pleased to announce that it has advised London-based oil and gas exploration company Tower Resources plc (“Tower”) on the acquisition of a 20% carried interest in Marovoay Block 2012, which covers an area of more than 8,400 km2 in northern Madagascar.
The acquisition is to be funded through the conditional purchase of Wilton Petroleum Limited, a private UK registered exploration company, for an initial consideration of US$1.75 million in cash and 120 million ordinary shares.
WFW also advised AIM-listed Tower on a placing to institutional and other investors to raise approximately £9 million, which will be used to fund the cash element of the acquisition, 2013 costs for its Welwitschia well offshore Namibia, working capital and to fund Tower’s new ventures programme. WFW also advised Tower on its 2 for 9 open offer to existing shareholders to raise up to a further £4.1 million.
Jan Mellmann, partner and head of the WFW Natural Resources Group, led the team with assistance from solicitors Sarah Williamson, Daniel Joll and trainee solicitor Jenny Greengrass.
Graeme Thomson, Chief Executive Officer at Tower, said: “Once again the WFW team advised on complex and inter-jurisdictional matters in an efficient and timely fashion. They have been instrumental in helping Tower achieve its goals in a tough market and the Company is grateful for their support and advice”.
Jan Mellmann, partner and head of Natural Resources at WFW, commented: “We have advised Tower for a number of years and are delighted to have been involved in these latest transactions which represent the first step for the company in its new ventures programme. In a difficult market environment, the success of the placing is a credit to Tower’s management team.”