CGX Energy Proposes Share Consolidation

About this update from Cgx Energy Inc.

[{"type":"text","content":"\n\n\n\n\n\n(TSX-V | OYL)\n\n\nTORONTO, May 10, 2013 /CNW/ - CGX Energy Inc. (TSX-V - OYL) (\"CGX\" or\n the \"Company\") announces the proposed consolidation of its issued and\n outstanding common shares on a basis of 10 pre-consolidated shares for\n each post-consolidation share, subject to shareholder approval and TSX\n Venture Exchange approval. The proposed consolidation is to be put\n before shareholders at the Company's Annual and Special Meeting of\n shareholders to be held on June 26, 2013. The name of the Company will\n not be changed in conjunction with the Consolidation.\n\n\nThe consolidation is being proposed to reduce volatility in the stock\n and to make it more accessible for institutional investors.\n\n\nShould the consolidation be approved, the Company will also consolidate\n its issued and outstanding warrants and options on a ten-for-one basis,\n with the result that each consolidated warrant and option would entitle\n the holder to acquire one common share in the capital of the Company at\n an exercise price equal to ten times its original exercise price. The following chart summarizes the Company's current capital structure\n and estimated capital structure following the proposed consolidation:\n\n\n\n\nSecurity\n\n\nCurrent\n\n\nFollowing Proposed 10:1 Consolidation\n\n\nCommon Shares\n\n\n782,037,218\n\n\n78,203,721\n\n\nWarrants\n\n\n42,857,142 warrants at an exercise price of $0.60\n\n\n4,285,714 warrants at an exercise price of $6.00\n\n\n370,089,000 warrants at an exercise price of $0.17\n\n\n37,008,900 warrants at exercise price of $1.70\n\n\nOptions\n\n\n4,359,730 options with exercise prices\nranging between $0.30 and $1.80\n\n\n435,973 options with exercise prices\nranging between $3.00 and $18.00\n\n\n\n\nFull details regarding the proposed consolidation will be included in\n the management information circular provided in connection with the\n Annual and Special Meeting of Shareholders.\n\n\nAbout CGX Energy \n\n\nCGX Energy is a Canadian-based oil and gas exploration company focused\n on exploration in the Guyana-Suriname Basin.\n\n\nNEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER\n (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE)\n ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.\n\n\nForward-Looking Statements:\n\n\nThis press re...

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