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Cenovus and Headwater announce bought deal secondary offering of Headwater common shares worth approximately $114 million
Cenovus and Headwater announce bought deal secondary offering of Headwater common shares ...
About this update from Cenovus Energy Inc.
[{"type":"text","content":"\n \n \n \n Cenovus and Headwater announce bought deal secondary offering of Headwater common shares worth approximately $114 million\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n CALGARY, AB\n \n ,\n \n Sept. 27, 2021\n \n /CNW/ - Cenovus Energy Inc. (TSX: CVE) (NYSE: CVE) (\"Cenovus\" or the \"Selling Shareholder\") and Headwater Exploration Inc. (TSX: HWX) (\"Headwater\" or the \"Company\") announced today that they have entered into an agreement with Peters & Co. Limited and BMO Capital Markets (the \"Lead Underwriters\"), on behalf of a syndicate of underwriters (together with the Lead Underwriters, the \"Underwriters\"), pursuant to which the Underwriters have agreed to purchase, on a bought deal basis, from Cenovus, through its wholly owned subsidiary, Cenovus Marten Hills Partnership (the \"Partnership\"), 25,000,000 common shares of the Company (the \"Common Shares\") at a price of\n \n $4.55\n \n per Common Share (the \"Offering Price\") for total gross proceeds to the Selling Shareholder of\n \n $113,750,000\n \n (the \"Offering\"). The Selling Shareholder has granted the Underwriters an option to purchase an additional 15% of the Common Shares issued under the Offering (3,750,000 Common Shares) at the Offering Price exercisable to cover over-allotments and for market stabilization purposes in whole or in part at any time until 30 days after the closing. The Company will not receive any of the proceeds from the Offering or the over-allotment option, if exercised.\n \n \n Cenovus currently holds, indirectly through the Partnership, 50,000,000 Common Shares, representing approximately 24.7% of the issued and outstanding Common Shares and 15,000,000 purchase warrants exercisable at\n \n $2.00\n \n per Common Share until\n \n December 2, 2023\n \n . Following the closing of the Offering, Cenovus will indirectly hold 25,000,000 Common Shares (21,250,000 Common Shares assuming full exercise of the over-allotment option), representing approximately 12.3% of the issued and outstanding Common Shares (10.5% assuming ful...