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Cardinal Energy Ltd. Announces $40 Million Bought Deal Offering of Senior Subordinated Unsecured Debentures
THE BASE SHELF PROSPECTUS IS ACCESSIBLE, AND THE PROSPECTUS SUPPLEMENT AND ANY AMENDMENT TO THE F...
About this update from Cardinal Energy Ltd.
[{"type":"text","content":"Cardinal Energy Ltd. Announces $40 Million Bought Deal Offering of Senior Subordinated Unsecured Debentures\n\n\n\n THE BASE SHELF PROSPECTUS IS ACCESSIBLE, AND THE PROSPECTUS SUPPLEMENT AND ANY AMENDMENT TO THE FOREGOING DOCUMENTS WILL BE ACCESSIBLE WITHIN TWO BUSINESS DAYS, ON SEDAR+\n \n\n\n NOT FOR DISTRIBUTION IN THE UNITED STATES.\n \n\n\n FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF UNITED STATES SECURITIES LAW\n \n\n\n CALGARY, Alberta, Feb. 25, 2025 (GLOBE NEWSWIRE) -- Cardinal Energy Ltd. (\"Cardinal\" or the \"Company\") (TSX: CJ) is pleased to announce that it has entered into an agreement with a syndicate of underwriters (the “\n \n Underwriters\n \n ”) co-led by CIBC Capital Markets, RBC Capital Markets and ATB Capital Markets, with CIBC Capital Markets and RBC Capital Markets acting as joint-bookrunners, pursuant to which the Underwriters have agreed to purchase for resale to the public, on a bought deal basis, $40 million aggregate principal amount of senior subordinated unsecured debentures due September 30, 2030 (the “\n \n Debentures\n \n ”) at a price of $1,000 per Debenture (the “\n \n Offering\n \n ”). The Company has also granted the Underwriters an option to purchase up to an additional $5 million aggregate principal amount of Debentures, such option to be exercised in whole or in part at the sole discretion of the Underwriters, at any time until two business days prior to the Closing Date (as defined below). The Offering is expected to close on or about March 4, 2025 (the “\n \n Closing Date\n \n ”).\n \n\n The Company intends to use the net proceeds of the Offering to first repay and reduce the indebtedness of its outstanding senior credit facility, then to de-risk the completion of the Company's Reford thermal facility and accelerate the de-risking of the Company's Kelfield thermal oil opportunity. As well the Company may use some of the proceeds for land and seismic acquisitions to delineate other thermal oil opportunities available to the Company.\n \n\n The Debentures will bear interest at a rate of 8.25% per annum, payable semi-annually in arrears on the last business day of March and September of each year commencing on September 30, 2025. The first payment will include accrued and unpaid interest for the period from ...