San Leon whistles for ‘Rottweiler’ Hughes

July 15th is the big day for Oisín Fanning's Aim-listed San Leon Energy, when it asks shareholders to approve a £29 million (€40 million) placing to allow UK investor Martin Hughes's Toscafund to take a 41.5 per cent stake.

Toscafund already has 22 per cent of San Leon. Hedge fund gazillionaire Hughes is known as the “Rottweiler” in London for his aggressive approach to investments. There is no way anybody can keep this guy on a leash.

The Takeover Panel has granted a rule 9 waiver, according to a circular issued this week. This means Hughes doesn’t have to launch a full takeover bid for the explorer – normally mandatory once an investor breaches 30 per cent.

The cash will be used to fund San Leon’s assets in Poland and Morocco. If shareholders vote down the waiver, the maximum San Leon can raise is £13 million. Former Smart Telecom chief Fanning appears keen to get the full amount.

The shareholders’ meeting will be held in the Herbert Park hotel in leafy Ballsbridge. Shareholders would be well advised to bring along a few biscuits or even a squeaky toy. Anything to keep that Rottweiler happy.