PanTerra Resource Corp. completes C$130 million bought deal financing and the acquisition of two oil and gas assets

Date closed : June 27, 2014

Value : C$130 million

On June 27, 2014, PanTerra Resource Corp. (PanTerra or the Corporation) completed a bought deal private placement financing of 500,000,000 subscription receipts of the Corporation (Subscription Receipts) for gross proceeds of $130 million (the Offering) with a syndicate of underwriters co-led by Desjardins Capital Markets and TD Securities Inc. and including Raymond James Ltd., Beacon Securities Limited, Haywood Securities Inc., CIBC World Markets Inc. and Clarus Securities Inc. (collectively, the Underwriters).

The proceeds of the Offering were held in escrow until the completion of the acquisition of certain natural gas assets located in the Western Canadian foothills areas of Lynx/Palliser/Minnow and Findley/Copton/Ojay in Alberta and British Columbia, for total consideration of $120.0 million, subject to adjustments, which closed on July 31, 2014.

The Corporation also used a portion of the proceeds from the Offering in connection with the acquisition of certain natural gas assets located in the Western Canadian foothills areas of Copton and Narraway, Alberta, for a purchase price of $2.4 million, subject to adjustments, which closed on August 6, 2014.

On August 11, 2014, PanTerra obtained the final receipt for the (final) short form prospectus of the Corporation qualifying the distribution of 500,000,000 common shares of the Corporation which were issued pursuant to the exercise of the 500,000,000 previously issued Subscription Receipts. 

BLG represented PanTerra with a team led by William C. Guinan that included Robyn Bourgeois, Louise Lee and Peter Newman (securities), Peter Bryan (corporate) and Ross Freeman (tax).