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Epsilon Energy Ltd. Announces Intention to Commence a Substantial Issuer Bid and Tender Offer at a Premium
HOUSTON, May 14, 2020 (GLOBE NEWSWIRE) -- Epsilon Energy Ltd., a company organized under the laws of Alberta, Canada (NASDAQ: EPSN) (“Epsilon” or the
About this update from Epsilon Energy Ltd.
[{"type":"text","content":"HOUSTON, May 14, 2020 (GLOBE NEWSWIRE) -- Epsilon Energy Ltd., a company organized under the laws of Alberta, Canada (NASDAQ: EPSN) (“Epsilon” or the “Company”), today announced it intends to commence a substantial issuer bid and tender offer (the “Offer”) to purchase for cash up to an aggregate of approximately $6.2 million of its common shares at a premium of current market price no later than the end of this month. The Company intends to use a portion of its cash on hand to fund the Offer.\n “We believe that the contemplated offer will be more efficient, provide a substantially better liquidity option to shareholders, and is a more effective means to return capital to our shareholders than the share repurchase program or normal course issuer bid (“NCIB”) we have been conducting. We believe that the recent trading level of our Common Shares reflects a price that is below our estimates of intrinsic value per common share and thus an acceleration and expansion of common share repurchases beyond that permitted under the NCIB is in the best interests of the Company,” said Mike Raleigh, Epsilon’s Chief Executive Officer. IMPORTANT INFORMATION ABOUT PROPOSED TENDER OFFER The discussion of the proposed Offer in this press release is for informational purposes only and is neither an offer to purchase nor a solicitation of an offer to sell shares. Any Offer will be made only pursuant to an Offer to Purchase, the related Letter of Transmittal, and other related materials mailed or otherwise delivered to shareholders. Shareholders and investors are urged to read the Company’s tender offer statement on Schedule TO that will be filed contemporaneously with the Securities and Exchange Commission (the “SEC”) in connection with the Offer, which will include as exhibits the Offer to Purchase, the related Letter of Transmittal and other offer materials, as well as any amendments or supplements to the Schedule TO when they become available, because they contain important information. Each of these documents will be filed with the SEC, and investors may obtain them for free from the SEC at its website (www.sec.gov). These materials, as applicable, will also be filed on SEDAR at www.sedar.com. About Epsilon Epsilon Energy Ltd. is a North American onshore natural gas production and midstream company with a current focus on the Marcellus Shale of Pe...