By Sheri Kasprzak
Atlanta, March 4 - Connacher Oil and Gas Ltd.'s subsidiary Petrolifera Petroleum Ltd. will raise up to C$7 million in a private placement of units.
The company plans to sell up to 7 million units at C$1.00 each.
The units are comprised of one share, one half-share warrant and one additional investment right.
The whole warrants allow for an additional share at C$1.50 each for one year from a going-public transaction or 18 months from the closing date.
The additional investment right allows for an additional one-tenth of a unit in case Petrolifera does not complete the liquidity event within seven months of the closing date.
The deal is expected to close March 8.
PowerOne Capital Markets Ltd. and Jennings Capital Inc. are the co-lead underwriters in a syndicate that includes Dominick & Dominick Securities Inc. and Octagon Capital Corp.
Based in Calgary, Alta., Petrolifera is an oil and gas exploration, development and production company. It plans to use the proceeds to fund a portion of its C$6.2 million 2005 capital programs in Argentina and Peru.
| Issuer: | Petrolifera Petroleum Ltd.
|
| Issue: | Units of one share, one half-share warrant and one AIR for 1/10 of a unit
|
| Amount: | C$7 million (maximum)
|
| Units: | 7 million (maximum)
|
| Price: | C$1.00
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | 18 months or one year from a going-public transaction
|
| Warrant strike price: | C$1.50
|
| AIRs: | For one-tenth of a unit in the event that Petrolifera does not complete a going-public event
|
| Underwriters: | PowerOneCapital Markets Ltd. (lead); Jennings Capital Inc. (lead); Dominick & Dominick Securities Inc.; Octagon Capital Corp.
|
| Pricing date: | March 3
|
| Settlement date: | March 8
|
| Stock price: | C$1.19 at close March 3
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
