Oil explorer Afren has raised $200m (£121m) as it prepares to graduate from Aim to the main market. The funds will be used to accelerate development of its substantial Ebok and Okwok fields offshore Nigeria, fund exploratory drilling in Ivory Coast and reduce borrowings. The placing price of 81p was also at the lower end of expectations, although several founder directors can take comfort from selling shares at the placing price to help them exercise expiring founders' warrants at 37.95p.
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With 2009 production forecast to average 22,300 barrels of oil per day (bopd) and chief executive Osman Shahenshah targeting 100,000 bopd by the end of 2012, the company's move to the main market looks well timed.