Specialist private equity firm EIG Global Energy Partners is set to take about 15 per cent of ASX-listed oil and gas play Senex Energy.
Street Talk understands that EIG will buy at least 139 million Senex Energy shares as part of a wider $95 million equity raising program, which will top up its existing 2.7 per cent stake to between 10 and 15 per cent.
Senex kicked off the first leg of the equity raising on Monday - a $55 million institutional placement through stockbroker Morgans, first reported by Street Talk. EIG has underwritten the institutional deal, which was priced at 31.5¢ a share or a 12.5 per cent premium to the last close.
While Morgans will close the book on Tuesday, EIG has already subscribed for a minimum of 139 million of the 173 million placement shares.
Senex is expected to follow the institutional raising with a $40 million share purchase plan to existing investors, at the lower of 31.5¢ or a 5 per cent discount to the volume weighted average price leading into the offer.
Should EIG follow its money into the SPP, it could end up owning more than 15 per cent of Senex's shares.
Senex was seeking the cash injection to progress its Western Surat Gas Project in Queensland, which is intended to target the increasingly tight east coast gas market.
EIG is expected to join an already crowded shareholder register, which includes fellow private equity investor The Sentinent Group and Paradice Investment Management.
