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Tourmaline and Topaz Announce Completion of Previously-Announced Transaction
Tourmaline and Topaz Announce Completion of Previously-Announced Transaction Canad...
About this update from Tourmaline Oil Corp.
[{"type":"text","content":"\n\n\n\nTourmaline and Topaz Announce Completion of Previously-Announced Transaction\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\n\n\n\n\n\n\nCanada NewsWire\nCALGARY, Nov. 14, 2019\n\n\n\n/NOT FOR DISTRIBUTION IN THE UNITED STATES OR DISSEMINATION OVER UNITED STATES NEWSWIRE SERVICES./\n CALGARY, Nov. 14, 2019 /CNW/ - Tourmaline Oil Corp. (TSX:TOU) (\"Tourmaline\") and Topaz Energy Corp. (\"Topaz\") are pleased to announce that they have completed the previously-announced transaction creating Topaz, a unique, private, hybrid royalty and infrastructure company with an $800 million capitalization and aggressive long-term growth plans.  \n\n \n \n\n \nThe transaction includes the purchase by Topaz of interests in certain revenue generating assets from Tourmaline for consideration consisting of $194.5 million in cash and 59.1 million Topaz common shares. The cash portion of the purchase consideration was funded by a private placement to investors of 20.9 million common shares at $10.00/share. After giving effect to the completion of the transaction, Topaz is 74% owned by Tourmaline and 26% owned by the investors.\nTopaz has access to Tourmaline's multiple, well-defined, future drilling and growth opportunities, providing direct exposure to future Tourmaline production growth.  Topaz has a scalable business model with potential for additional similar transactions with Tourmaline and other industry participants.  \nTopaz has commenced operations with significant capitalization, meaningful forecast 2020 cash flow of over $1.00/share, a stable strong dividend of $0.80/share per year, low costs (<3% of 2020 forecast revenue) and no debt. \nReader Advisories\nU.S. SECURITIES MATTERS The securities of Topaz have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the \"U.S. Securities Act\") or any U.S. state securities laws and may not be offered or sold in the United States absent registration or an available exemption from the registration requirement of the U.S. Securities Act and applicable U.S. state securit...