Investor Presentaiton
Armour Energy and controlled entities
armourenergy.com.au
Financial report continued
Notes to the consolidated financial statements continued
NOTE 26. FINANCIAL RISK MANAGEMENT CONTINUED
REMAINING CONTRACTUAL MATURITIES CONTINUED
Interest payable on the corporate bonds is quarterly in arrears. The corporate bonds mature on 29 March 2024.The Group manages
liquidity risk by monitoring forecast cash flows and liquidity ratios such as working capital.
The cash flows in the maturity analysis above are not expected to occur significantly earlier than contractually disclosed above.
NOTE 27. EQUITY - ISSUED CAPITAL
ISSUED AND PAID UP CAPITAL
ORDINARY SHARES
Ordinary shares participate in dividends and the proceeds on winding up of Armour Energy Ltd. At shareholder meetings each
ordinary share is entitled to one vote when a poll is called, otherwise each shareholder has one vote on show of hands.
OPTIONS
The following share options were on issue at balance date:
Grant Date
Expiry Date
Number
Exercise price
% vested
S
5
Ordinary shares - fully paid
96
29/03/2016
29/03/2021
2,550,000
$0.195
100.00%
29/03/2016
29/03/2021
2,550,000
$0.345
100.00%
Consolidated
29/03/2016
29/03/2021
1,650,000
$0.495
100.00%
30 June
30 June
2020
Shares
2019
Shares
30 June
2020
$
30 June
31/07/2018
31/07/2021
41,000,000
$0.161
100.00%
2019
01/10/20191
30/09/2023
40,000,000
$0.080
100.00%
$
17/12/20191
30/09/2023
8,000,000
$0.080
100.00%
23/06/20202
29/02/2024
31,166,497
$0.050
100.00%
779,247,711 509,437,570
121,221,533
(8,999,494)
2,088,777
112,815,145
(8,291,395)
2,015,078
30/06/20202
29/02/2024
7,018,341
$0.050
100.00%
Share issue costs
Recognition of deferred tax asset relating to share issue costs
779,247,711 509,437,570
114,310,816
106,538,828
MOVEMENTS IN ORDINARY SHARE CAPITAL
Details
Date
Shares
Issue price
$
Balance
1 July 2018
405,175,941
96,367,882
Shares issued for cash (Entitlement Offer)
Shares issued under employment contracts
10 August 2018
November 2018
101,384,299
7 November 2018
209,425
$0.100
$0.100
Conversion of convertible notes into shares
28 August 2018
980,176
$0.110
Conversion of convertible notes into shares (1 note for 1.0047 ordinary shares)
Shares issued under employment contracts ($0.084 per share)
Shares issued under employment contracts ($0.096 per share)
Shares issued under employment contracts ($0.074 per share)
Share issue costs
27 November 2018
427,555
$0.110
10,138,395
20,942
107,315
46,811
18 January 2019
543,040
$0.084
1 May 2019
352,564
$0.096
24 June 2019
364,570
$0.074
Recognition of deferred tax assets relating to share issue costs
45,615
33,846
26,978
(298,366)
49,410
Balance
Shares issued for cash (Entitlement Offer)
Shares issued under employment contracts
Shares issued for cash (Entitlement Offer)
Shares issued for cash (Entitlement Offer)
Share issue costs
Recognition of deferred tax assets relating to share issue costs
Balance
30 June 2019
30 September 2019
5 November 2019
23 June 2020
30 June 2020
509,437,570
80,000,000
1,164,384
165,273,600
23,372,157
$0.050
$0.058
$0.023
$0.023
106,538,828
4,000,000
67,534
3,801,294
537,560
(708,099)
73,699
30 June 2020
779,247,711
114,310,816
133,934,838
1 In September 2019, the Company closed a private placement raising gross proceeds of $4 million via an allocation of 80 million shares at a
price of 5 cents each. Investors also received one (1) unlisted option exercisable at 8 cents (through to 30 September 2023) for every two (2)
shares subscribed, resulting in 40,000,000 unlisted options being issued.
2 In June 2020, the company announced a further capital raising program. there was an attaching option for every two (2) New Shares issued
under the Entitlement Offer and/or Placement available to both institutional and retail eligible shareholders. There were 38,184,838 options
issued exercisable at 5 cents and expiring 29 February 2024.
CAPITAL RISK MANAGEMENT
The Group's objectives when managing capital is to safeguard its ability to continue as a going concern, so that it can provide
returns for shareholders and benefits for other stakeholders and to maintain an optimum capital structure to reduce the cost of
capital.
Capital is regarded as total equity, as recognised in the statement of financial position, plus net debt. Net debt is calculated as total
borrowings less cash and cash equivalents.
In order to maintain or adjust the capital structure, the Group may adjust the number of dividends paid to shareholders, return
capital to shareholders, issue new shares or sell assets to reduce debt.
The Group would look to raise capital when an opportunity to invest in a business or company was seen as value adding relative to
the current Company's share price at the time of the investment. The Group is not actively pursuing additional investments in the
short term as it continues to integrate and grow its existing businesses in order to maximise synergies.
The Group is subject to certain financing arrangements covenants and meeting these is given priority in all capital risk
management decisions. There have been no events of default on the financing arrangements during the financial year.
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