Precision Drilling Trust Announces Pricing of U.S.$172.5 Million Public Offering of Trust Units
10 Februar 2009 - 5:06AM
Marketwired
This news release contains "forward-looking information and
statements" within the meaning of applicable securities laws. For a
full disclosure of the forward-looking information and statements
and the risks to which they are subject, see the "Cautionary
Statement Regarding Forward-Looking Information and Statements"
later in this news release.
Precision Drilling Trust ("Precision" or the "Trust") announced
that it has entered into an underwriting agreement today to issue a
total of 46,000,000 trust units (the "Trust Units") at a price of
U.S.$3.75 per Trust Unit (the "Offering") to raise aggregate gross
proceeds of U.S.$172,500,000.
The Offering is being underwritten by a syndicate of
underwriters jointly led by RBC Capital Markets and Deutsche Bank
Securities Inc. and including TD Securities Inc., HSBC Securities
(Canada) Inc., Cormark Securities Inc., FirstEnergy Capital Corp.
and Tristone Capital Inc. (collectively, the "Underwriters").
The Trust Units will be offered to the public in Canada and the
United States through the Underwriters or their affiliates.
Precision has also granted the Underwriters an option (the
"Underwriters' Option") to purchase up to an additional 6,900,000
Trust Units at a price of U.S.$3.75 per Trust Unit, for additional
gross proceeds of U.S.$25,875,000, exercisable, in whole or in
part, from time to time, not later than the 30th day following the
closing of the Offering. It is presently expected that the Offering
will close on February 18, 2009. If the Underwriters' Option is
exercised in full, total gross proceeds of the Offering would be
U.S.$198,375,000.
The Trust Units will be issued by way of a prospectus supplement
that will be filed with securities regulatory authorities in Canada
and the United States under Precision's base shelf prospectus dated
February 4, 2009, which was previously filed with securities
regulatory authorities in each of the provinces of Canada and in
the United States under the multi-jurisdictional disclosure
system.
The proceeds of the Offering will be used to fund the repurchase
of outstanding convertible notes which were assumed in connection
with Precision's acquisition of Grey Wolf, Inc. in December 2008
and for which a subsidiary of Precision has made a "change of
control" offer on January 22, 2009. The Trust anticipates that
holders of convertible notes will tender their notes to the offer
and the tendered notes will be repurchased on March 23, 2009. To
the extent that the net proceeds of the Offering exceed the amount
payable for the convertible notes tendered to the offer, such
proceeds will be used to fund capital expenditures and for general
corporate purposes of Precision.
This news release is not an offer to sell Trust Units and is not
soliciting an offer to buy Trust Units. The Trust has applied to
list the Trust Units offered by the prospectus supplement on each
of the Toronto Stock Exchange and the New York Stock Exchange.
Listing will be subject to the Trust fulfilling all of the listing
requirements of each of the Toronto Stock Exchange and the New York
Stock Exchange.
You may obtain a copy of the base shelf prospectus and the
prospectus supplement from RBC Capital Markets, Attention:
Distribution Centre, 277 Front St. W., 5th Floor, Toronto, Ontario
M5H 2X4 (fax: 416-313-6066) in Canada or RBC Capital Markets
Corporation, Attention: Prospectus Department, Three World
Financial Centre, 200 Vesey Street, 8th Floor, New York, NY
10281-8098 (fax: 212-428-6260), or from Deutsche Bank Securities,
Prospectus Department, at 100 Plaza One, Jersey City, New Jersey
07311, (800) 503-4611.
About Precision
Precision is a leading provider of safe, high performance energy
services to the North American oil and gas industry. Precision
provides customers with access to an extensive fleet of contract
drilling rigs, service rigs, camps, snubbing units, wastewater
treatment units and rental equipment backed by a comprehensive mix
of technical support services and skilled, experienced
personnel.
Precision is headquartered in Calgary, Alberta, Canada.
Precision is listed on the Toronto Stock Exchange under the trading
symbol "PD.UN" and on the New York Stock Exchange under the trading
symbol "PDS".
Cautionary Statement Regarding Forward-Looking Statements
Statements about Precision's expectations and all other
statements in this news release, other than historical facts, are
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Such statements may also
constitute "forward-looking information" within the meaning of
applicable Canadian securities legislation. These forward-looking
statements rely on a number of assumptions concerning future events
and are subject to a number of uncertainties and factors, many of
which are outside of Precision's control, which could cause actual
results to differ materially from such statements. Forward-looking
statements or information in this news release include but are not
limited to: the timing and completion of the Offering, the use of
proceeds of the Offering, the tender of convertible notes to the
"change of control" offer and the listing of the Trust Units issued
pursuant to the Offering on each of the TSX and NYSE. Among the
factors that could cause results to differ materially from those
indicated by such forward-looking statements are: the principal
amount of convertible notes tendered to the "change of control"
offer, changes in market conditions, the failure to close the
Offering on the terms disclosed herein and failure to obtain
required regulatory approvals. Readers are cautioned not to place
undue reliance on forward-looking information. No assurance can be
given that any of the events anticipated by the forward-looking
information will transpire or occur or, if any of them do so, what
benefits Precision will derive therefrom.
Contacts: David Wehlmann, Executive Vice President, Investor
Relations Precision Drilling Corporation, Administrator of
Precision Drilling Trust (403) 716-4575 (403) 716-4755 (FAX)
Precision Drilling Trust 4200, 150 - 6th Avenue S.W. Calgary,
Alberta T2P 3Y7 Website: www.precisiondrilling.com
Precision Drilling (NYSE:PDS)
Historical Stock Chart
Von Jun 2024 bis Jul 2024
Precision Drilling (NYSE:PDS)
Historical Stock Chart
Von Jul 2023 bis Jul 2024