R H Energy RTO

R H Energy RTO: We pieced out some simple potential valuations to consider as follow, note however that these calculations has its limitations and does not accounting for a proposed disposal of not more then $25m of assets, as part of the restructuring exercise. Calculation uses a NAV basis, which was given by Co. in its RTO announcement 1) R H Energy – Shares outstanding at 284.93m @ $0.198 2) R H Energy proposing a share consolidation based on 3:1, which will equate to 94.98m shares @ $0.594 3) R H Energy acquires Chiwayland via RTO at $396m (549.275 shares @ $0.69 & $17m cash) 4) R H Energy current Market Cap / Nav at $55.85m / $46.78m respectively 5) New share base = 94.977 + 549.275 = 644.252 shares 6) Combined NAV = $396m + $46.78m = $442.78 7) Book value per share = $443.78 / 644.252 shares = $0.687 / share Note however, that this is not the first time Chiwayland had tried to seek a listing via RTO. Just last yr, the grp tried a similar listing via RTO though Ocean Sky, only for the deal to be terminated, as both parties were unable to reach a definitive agreement on the Proposed Transactions.