Business
High Arctic Announces Closing of $25 Million Bought Deal Offering of Subscription Receipts
/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES ...
About this update from High Arctic Energy Services Inc
[{"type":"text","content":"\n\n/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW/\n\n\n\nCALGARY, June 11, 2014 /CNW/ - High Arctic Energy Services Inc. (TSX: HWO) (\"High Arctic\" or the \"Corporation\") is pleased to announce that it has closed its previously announced offering (the \"Offering\") of 5,051,000 subscription receipts (the \"Subscription Receipts\") at a price of $4.95 per Subscription Receipt. A syndicate led by National Bank Financial Inc. and including PI Financial Corp., AltaCorp Capital Inc. and Lightyear Capital Inc. (collectively, the \"Underwriters\") acted as underwriters for the Offering.\n\nEach Subscription Receipt represents the right to acquire, without payment of additional consideration or further action, one common share of High Arctic (\"Common Share\") upon closing of the previously announced acquisition of two heli-portable drilling rigs and associated ancillary equipment (the \"Acquisition\"). The Acquisition is expected to be completed on or about June 30, 2014 and is subject to customary closing conditions.\n\nThe gross proceeds from the sale of the Subscription Receipts have been placed in escrow (\"Escrowed Proceeds\") pending closing of the Acquisition. If the Acquisition closes on or before August 15, 2014, the Escrowed Proceeds will be released to High Arctic to fund the purchase price for the Acquisition and each Subscription Receipt will be exchanged for one Common Share. \n\nThe holders of Subscription Receipts become entitled to receive an amount per Subscription Receipt equal to the amount per Common Share of any cash dividends for which record dates have occurred during the period from the date hereof to the date immediately preceding the date the underlying Common Shares are issued pursuant to the Subscription Receipts. If holders of Subscription Receipts become entitled to receive Common Shares, the escrow agent and High Arctic will pay this dividend equivalent payment, if any, to holders on the later of the date the Common Shares are issued pursuant to the Subscription Receipts and the date such dividend is paid to holders of Common Shares.\n\nIf the Acquisition does not occur on or before August 15, 2014, the Escrowed Proceeds will be reimbursed pro rata to the holders o...