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Compton Petroleum announces terms of $150 million bought deal equity offering
Compton Petroleum announces terms of $150 million bought deal equity offering
About this update from Cullinan Metals Corp
[{"type":"text","content":"\n\n\n\nSep. 11, 2009 (Canada NewsWire Group) -- CALGARY, Sept. 11 /CNW/ -- Compton Petroleum Corporation (TSX - CMT, NYSE - CMZ) is pleased to announce the terms of its previously announced public offering (the \"Offering\") of units of Compton (\"Units\"). Compton has entered into an agreement with a syndicate of underwriters, led by Canaccord Capital Corporation and including BMO Capital Markets Inc., FirstEnergy Capital Corp., Scotia Capital Inc., TD Securities Inc. and Salman Partners Inc., who have agreed to purchase l20,000,000 Units on a bought deal basis at a price of $1.25 per Unit. Each Unit consists of one common share in the capital of Compton (a \"Common Share\") and one common share purchase warrant (a \"Warrant\"). Each Warrant will entitle the holder to acquire an additional Common Share (a \"Warrant Share\") during the 24 month period following closing of the Offering at an exercise price of $1.55 per Warrant Share. Under the Offering, Compton will issue an aggregate of 120,000,000 Units at a price of $1.25 per Unit for aggregate gross proceeds to Compton of $150,000,000.Compton has agreed to grant the Underwriters an over-allotment option to purchase additional Units equal to up to 15% of the Units sold pursuant to the Offering, exercisable at any time, in whole or in part, up to 30 days from the closing of the Offering, which is scheduled to occur on September 25, 2009. If the over-allotment option is exercised in full, a total of 18,000,000 additional Units will be sold under the Offering. Upon closing of the Offering, and not including the Common Shares issuable pursuant to the over-allotment option or the Warrant Shares issuable upon exercise of the Warrants, Compton will have approximately 263 million Common Shares issued and outstanding.The Offering will be sold publicly in each of the provinces of Canada, except Quebec, and in the United States pursuant to the multi-jurisdictional disclosure system implemented by securities regulatory authorities in the United States and Canada, and in such other jurisdictions as may be agreed to by Compton and the Underwriters. A registration statement relating to these securities has been filed with the United States Securities and Exchange Commission but has not yet become effective. The securities may not be sold nor may offers to buy be accepted prior to the time t...