Investor Presentaiton slide image

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. 97
View entire presentation