Corre Energy announced the resignation of its temporary chairman after a brief tenure of less than two months as the company is presently engaged in discussions with large stakeholders for its immediate working capital requirements. The company said that Rune Eng, who has decided to quit from the board to focus on “other personal and professional pursuits,” is leaving today. The only remaining member of the board is CEO Keith McGrane due to Eng’s departure.
Eng, a member of the board since 2021, took over as the acting chairman only in June. During his tenure, he played a significant role in managing the initial stages of the company’s expansion, including achieving key business milestones and fund-raising endeavours, mentioned the company statement. The company is making concerted efforts to appoint, at the earliest, a suitable interim chairperson to be proposed to its shareholders.
Simultaneously, Corre is also in talks with major shareholders regarding the potential investment for short-term working capital requirements before the finalization of a strategic investment deal and a long-term fund procurement. Although the company’s shareholders have been consistently meeting its working capital demands, there is uncertainty about procuring ample working capital in the future, cautioned the company.
Corre had contracted the services of the investment bank Rothschild to facilitate the procurement of fresh funding. This process is still ongoing with an anticipation of progress next month, according to the company.
The challenges for Corre amplified recently after its Dutch parent group pledged over 15 per cent of the Irish outfits shares earlier this week as loan security. The company’s share value has almost plummeted by 50% within a week, resulting in a market value of €10.5 million.