Business
LGX Oil + Gas Inc. Announces Closing of Bought Deal Financing
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About this update from Permex Petroleum Corp.
[{"type":"text","content":"\n\n\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN\n THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY\n CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW./\n\n\nCALGARY, Nov. 7, 2012 /CNW/ - LGX Oil + Gas Inc. (\"LGX\" or the\n \"Company\") (TSXV: OIL) is pleased to announce it has closed its\n previously announced bought deal financing (\"Financing\").  Pursuant to\n the Financing, LGX issued a total of 49.5 million Subscription Receipts\n at a price of $0.86 each and 4.81 million common shares issued on a\n flow-through basis at a price of $1.04 each, for gross proceeds of\n $47,572,400.\n\n\nThe Financing was co-led by FirstEnergy Capital Corp. and Raymond James\n Ltd. and included a syndicate of underwriters consisting of GMP\n Securities L.P., Macquarie Capital Markets Canada Ltd., National Bank\n Financial Inc., Scotia Capital Inc. and BMO Capital Markets Inc.\n\n\nThe net proceeds of the Financing will be used to fund the cash purchase\n price payable by LGX pursuant to the previously announced acquisition\n of assets in the Manyberries area of Alberta (the \"Acquisition\") and\n for general corporate purposes.\n\n\nThe gross proceeds from sale of the Subscription Receipts will be held\n in escrow pending the receipt by the escrow agent and the underwriters\n of notice from LGX that all conditions precedent to the completion of\n the Acquisition have been satisfied or waived.  If such notice is\n received on or before December 31, 2012, the proceeds will be released\n to LGX to fund the Acquisition and each Subscription Receipt will be\n exchanged for one common share of LGX for no additional\n consideration.   If the Acquisition is not completed on or before\n December 31, 2012, holders of Subscription Receipts will receive a cash\n payment equal to the offering price of the Subscription Receipts and\n any interest that was earned thereon during the time of escrow.\n\n\nLegacy Oil + Gas Inc. (\"Legacy\") currently holds 10 million common\n shares of LGX, representing approximately 33 percent of the outstanding\n common shares prior to the Financing.  Legacy purchased 6 million\n Subscription Receipts under the Financing.  If the Acquisition is\n completed, Legacy will hold 16 million common shares, representing\n approximately 18 percent of the ...