Sound Energy greenshoe exercised, raising convertibles to more than C$41 million

By Lisa Kerner

Charlotte, N.C., Dec. 11 - Sound Energy Trust said its underwriters exercised C$1.035 million of their C$6 million over-allotment option for additional convertible unsecured subordinated debentures at C$1,000 per debenture, raising the total proceeds from the offering to C$41.035 million.

The company originally priced a C$55 million offering with a coupon of 6.75% and an initial conversion premium of 15.85% on Oct. 25. On Nov. 9, Sound repriced its downsized C$40 million deal with a coupon of 8% and an initial conversion premium of 14%.

The underwriters - TD Securities, BMO Capital Markets, Canaccord Capital, First Energy Capital, National Bank Financial and Tristone Capita - do not anticipate exercising the balance of the over-allotment option, according to a news release.

Sound is an oil and gas income trust based in Calgary, Alta.

© 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.