Journey Energy Inc. Announces $15 Million "Bought Deal" Public Offering of Flow-Through Common Shares

About this update from Journey Energy, Inc.

[{"type":"text","content":"\n \n \n \n Journey Energy Inc. Announces $15 Million \"Bought Deal\" Public Offering of Flow-Through Common Shares\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n /NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN\n \n THE UNITED STATES\n \n /\n \n \n \n \n CALGARY, AB\n \n \n ,\n \n \n March 1, 2023\n \n \n /CNW/ - Journey Energy Inc. (TSX: JOY) (OTCQX: JRNGF) (\"\n \n Journey\n \n \" or the \"\n \n Company\n \n \") is pleased to announce that it has entered into an agreement with a syndicate of underwriters, led by Stifel FirstEnergy (collectively, the \"Underwriters\"), pursuant to which the Underwriters have agreed to purchase, on a \"bought deal\" basis, 2,265,861 common shares (the \"Flow-Through Shares\") of Journey to be issued as \"flow-through shares\" with respect to \"Canadian development expenses\" within the meaning of the\n \n Income Tax Act\n \n (\n \n Canada\n \n ) and the regulations thereunder in force as of the date hereof (the \"Tax Act\") at a price (the \"Offering Price\") of\n \n $6.62\n \n per Flow-Through Share, for total gross proceeds to the Company of approximately\n \n $15 million\n \n (the \"Offering\").\n \n \n Journey has granted to the Underwriters an option to purchase additional Flow-Through Shares, equal to 15% of the number of Flow-Through Shares sold pursuant to the Offering at the Offering Price, for market stabilization purposes and to cover over-allotments for a period expiring 30 days after the date of closing.\n \n \n Journey will use proceeds from the Offering to incur eligible \"Canadian development expenditures\" within the meaning of the Tax Act in an aggregate amount of not less than the gross proceeds raised from the Offering and will renounce qualifying expenditures to purchasers of the Flow-Through Shares on or before\n \n March 31, 2024\n \n . The proceeds from the Offering will fund Journey's future drilling program.\n \n \n The Flow-Through Shares will be offered by way of short form prospectus in each of the provin...

More updates from Journey Energy, Inc.