Non-brokered offering sells 4% convertible senior unsecured notes
By Devika Patel
Knoxville, Tenn., July 2 - WesternZagros Resources Ltd. said it took in another C$30 million by selling 4% convertible senior unsecured notes in a non-brokered private placement. The deal raised C$70 million on June 18.
The notes, which are due Dec. 31, 2015 and were sold at par of C$1,000, are convertible into common shares at C$1.45 per share, an 11.54% premium to the June 17 closing share price of C$1.30.
Paulson & Co. Inc. was the investor in the first tranche. Crest Energy International LLC invested C$19.8 million in the second tranche.
Proceeds were used to repay the remaining Crest Energy International debt of $44.5 million plus interest. The remaining proceeds will be used to fund the company's capital and operating activities.
Based in Calgary, Alta., WesternZagros is an oil and gas exploration and production company.
| Issuer: | WesternZagros Resources Ltd.
|
| Issue: | Convertible senior unsecured notes
|
| Amount: | C$100 million
|
| Maturity: | Dec. 31, 2015
|
| Coupon: | 4%
|
| Price: | Par of C$1,000
|
| Conversion price: | C$1.45
|
| Conversion premium: | 11.54%
|
| Warrants: | No
|
| Agent: | Non-brokered
|
| Investors: | Paulson & Co. Inc. (for C$70 million), Crest Energy International LLC (for C$19.8 million)
|
| Settlement dates: | June 18 (for C$70 million), July 2 (for C$30 million)
|
| Stock symbol: | TSX Venture: WZR
|
| Stock price: | C$1.30 at close June 17
|
| Market capitalization: | C$601.08 million
|
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