Proceeds from bought deal, best-efforts placements for exploration
By Marisa Wong
Madison, Wis., Oct. 21 - Tamarack Valley Energy Ltd. said it has closed its previously announced brokered flow-through share financing comprised of a bought deal private placement and a best-efforts private placement.
The bought deal private placement of 9,486,166 common shares at C$0.31625 per share issued on a flow-through basis raised C$3 million.
The company sold 3,382,664 common shares at C$0.295625 per share issued on a flow-through basis in a best-efforts private placement for proceeds of C$1 million.
There is a greenshoe for an additional C$500,000 in the form of 1,581,028 Canadian exploration expense flow-through shares at C$0.31625 per share.
The price per share for the bought deal placement and the price per share for the best-efforts placement represent discounts of 1.17% and 7.62% to the Oct. 20 closing share price of C$0.32, respectively.
The syndicate of underwriters for the financing was led by Acumen Capital Finance Partners Ltd. and included Peters & Co. Ltd., Paradigm Capital Inc., Dundee Securities Corp. and National Bank Financial Inc.
Proceeds of the financing will be used to accelerate the company's Cardium and Viking light oil exploration program by incurring eligible Canadian exploration expenses and Canadian development expenses, which will be renounced on or before Dec. 31 to subscribers of the respective flow-through shares.
Tamarack Valley is a Calgary, Alta.-based oil and gas company.
| Issuer: | Tamarack Valley Energy Ltd.
|
| Issue: | Flow-through common shares
|
| Amount: | C$4 million
|
| Greenshoe: | C$500,000
|
| Warrants: | No
|
| Agents: | Acumen Capital Finance Partners Ltd. (lead), Peters & Co. Ltd., Paradigm Capital Inc., Dundee Securities Corp. and National Bank Financial Inc.
|
| Announcement date: | Oct. 21
|
| Stock symbol: | TSX Venture: TVE
|
| Stock price: | C$0.32 at close Oct. 20
|
| Market capitalization: | C$39.49 million
|
|
|
| Bought deal placement
|
| Amount: | C$3 million
|
| Shares: | 9,486,166
|
| Price: | C$0.31625
|
|
|
| Best-efforts placement
|
| Amount: | C$1 million
|
| Shares: | 3,382,664
|
| Price: | C$0.295625
|
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