Bellatrix to pay 127.5112 shares per debenture in call of convertibles

New York, Oct. 11 - Bellatrix Exploration Ltd. announced the holders of its C$55 million of 4.75% convertible unsecured subordinated debentures due April 30, 2015 will receive 127.5112 shares per C$1,000 debenture.

Bellatrix set the number of shares based on a price of C$8.02 per share, calculated as 95% of the volume-weighted average trading price of the company's stock on the Toronto Stock Exchange for the 20 trading days ending on Friday. The figure includes both the principal amount of the debentures and accrued interest.

However holders also have the right to convert the debentures at a price of C$5.60 per share up to Oct. 18. Those who convert will receive 178.5714 shares per C$1,000 debenture plus accrued interest in cash up to but excluding the conversion date.

Bellatrix announced on Sept. 4 that it will redeem the convertibles at par plus accrued interest on Oct. 21.

The company elected to pay the redemption price by issuing a number of common shares obtained by dividing the redemption price by 95% of the current market price of the common shares on the redemption date.

Based in Calgary, Alta., Bellatrix Exploration is an oil and gas exploration and production company.

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