Donnybrook Energy agreement for Simonette, Resthaven
2013-04-04 16:26 ET - Property Agreement
The TSX Venture Exchange has conditionally approved Donnybrook Energy Inc.'s plan of arrangement under the Business Corporations Act (Alberta). The plan of arrangement is expected to be approved by a special resolution passed by the shareholders of Donnybrook at a special meeting of shareholders to be held on April 15, 2013.
Under the plan of arrangement, which is fully described in Donnybrook's information circular dated March 15, 2013, Donnybrook has agreed to transfer its interest in its Simonette and Resthaven oil and gas properties in exchange for an aggregate of 10.3 million common shares of Cequence Energy Ltd. and Cequence's interest in the Fir oil and gas property. Pursuant to the arrangement, Donnybrook will distribute the 10.3 million common shares of Cequence to Donnybrook shareholders on a pro rata basis as a return of capital.
The distribution is conditional upon receipt by Donnybrook of shareholder approval and final court approval. If shareholder and court approval are received, it is expected that the payable date, ex distribution date and due bill redemption date will be as set forth below. If shareholder and court approval are not obtained, then the distribution will not be made.
Distribution per share: Approximately 0.0531 of a Cequence common share
Payable date: April 15, 2013
Record date: April 12, 2013
Ex distribution date: April 16, 2013
Due bill redemption date: April 18, 2013
Due bill trading
The company will distribute approximately 0.0531 of a common share of Cequence for each common share of Donnybrook held, which is payable on or about April 15, 2013, to shareholders of record as at the close of business on April 12, 2013. The Donnybrook shares will commence trading on a due-bill basis effective from the opening of April 10, 2013, until April 15, 2013, inclusively. Sellers of the Donnybrook shares from April 10, 2013, to and including April 15, 2013, will not be entitled to the distribution. The Donnybrook shares will commence trading on an ex distribution basis effective at the opening on April 16, 2013.
Refer to the company's news release dated March 28, 2013, for further information.