Business
Enterprise Group, Inc. announces closing of $15 million equity financing
/NOT FOR RELEASE IN THE UNITED STATES OR DISSEMINATION OF UNITED STATES NEWS WIRE SERVI...
About this update from Enterprise Group, Inc.
[{"type":"text","content":"\n\n\n/NOT FOR RELEASE IN THE UNITED STATES OR DISSEMINATION OF UNITED STATES\n NEWS WIRE SERVICES/\n\n\nST. ALBERT, AB, Dec. 20, 2013 /CNW/ - Enterprise Group, Inc.\n (\"Enterprise,\" or the \"Company\") (TSX:E) is pleased to announce that it\n has closed its previously announced overnight marketed public offering\n (the \"Offering\") of subscription receipts of the Company (\"Subscription\n Receipts\") at a price of $0.72 per Subscription Receipt for aggregate\n gross proceeds of $15,001,200.  The Offering was completed through a\n syndicate of underwriters led by Canaccord Genuity Corp. and including\n GMP Securities L.P., M Partners Inc. and PI Financial Corp.\n\n\nEach Subscription Receipt entitles the holder to receive, without\n payment of any additional consideration, one common share of the\n Company (\"Common Share\") and one-half of one Common Share purchase\n warrant of the Company (\"Warrant\") upon the Company being in position\n to close the Acquisition (defined below).  Each whole Warrant will\n entitle the holder thereof to purchase one Common Share at a price of\n $1.00 for a period of 24 months following closing of the Offering.\n\n\nIn addition, the Company has issued to the Underwriters that number of\n non-transferable Common Share purchase warrants (\"Broker Warrants\")\n equal to 6% of the total number of Subscription Receipts issued\n pursuant to the Offering. Each Broker Warrant will entitle the holder\n thereof to acquire one Common Share at an exercise price of $0.80 per\n share for a period of 24 months following closing of the Offering.\n\n\nAs previously announced, Enterprise has entered into an agreement (the\n \"Acquisition Agreement\") to acquire Hart Oilfield Rentals Ltd.\n (\"Hart\"), a private oilfield service provider, for a purchase price of\n $22.6 million (the \"Acquisition\"). The purchase price will be satisfied\n through a combination of $1.0 million of Common Shares and $21.6\n million in cash to be funded through the aggregate net proceeds from\n the Offering, the Company's credit facility and cash on hand.\n\n\nThe Acquisition is expected to close January 3, 2014, subject to\n customary conditions and all regulatory approvals, including the\n approval of the Toronto Stock Exchange.\n\n\nThe aggregate gross proceeds from the Offering have been placed in\n escrow, pending th...