Torque Agrees to Acquisition by Eurogas
02 Mai 2011 - 10:04PM
Marketwired
Torque Energy Inc. (TSX VENTURE: TQE) has accepted, subject to
receipt of a favourable fairness opinion, an offer from Eurogas
Corporation (TSX: EUG) whereby Torque will become a wholly-owned
subsidiary of Eurogas.
The transaction will be carried out on the basis that Torque
shareholders will receive, for each share of Torque held, either
0.5 Eurogas shares or, at the shareholder's option, payment of
$0.50. Shareholders in the United States of America will only
receive the cash payment.
The share for share exchange represents a 27.7% premium to
Torque's closing share price of $0.325 on April 28, 2011 (based on
Eurogas' closing price of $0.83 on that day) and a 43.8% premium to
Torque's volume weighted share price of $0.291 for the 20 days
ending on April 28, 2011 (based on Eurogas' 20 day volume weighted
share price of $0.837 for the same period). The cash payment
represents a 53.8% premium to such closing share price for Torque
and a 71.8% premium to the 20 day volume weighted share price for
Torque.
It is intended that the acquisition will be carried out by way
of an amalgamation of Torque with a subsidiary of Eurogas. The
transaction is subject to receipt of stock exchange and shareholder
approvals.
Torque is listed on the TSX Venture Exchange under the symbol
"TQE" and is engaged in oil and gas operations in Ontario. The
Company is currently working on a number of Ontario oil and gas
acquisitions. Torque successfully completed, with its partner, the
sale of the Dover East Storage Pool in June 2010 representing a
total net compensation to Torque of $3.88 million, provided the
Pool is fully developed into natural gas storage. It is currently
designing and anticipates shooting a three-dimensional seismic
program over its second natural gas storage Pool prior to the third
quarter of 2011.
Eurogas Corporation is listed on the Toronto Stock Exchange
under the symbol "EUG" and is engaged in oil and natural gas
operations in Ontario and indirectly in the development of a major
underground storage facility off the east coast of Spain. Torque
understands that Eurogas would like to consolidate its petroleum
interests in Ontario to achieve various efficiencies and pursue
other exploration and business opportunities in the province.
Torque understands that Dundee Corporation currently owns
approximately 54% of Eurogas and 19% of Torque shares and, as a
result, Dundee and certain associated parties cannot vote their
shares of Torque at the shareholder meeting that will be called to
approve this transaction.
Neither the TSX Venture Exchange nor the investment Industry
Regulatory Organization of Canada accepts responsibility for the
adequacy or accuracy of this release.
Contacts: Torque Energy Inc. Brian E. Bayley President and CEO
604.689.1428 604.681.4692 (FAX) Torque Energy Inc. David C. Nelms
Chief Financial Offer 519.433.7710 519.433.7588 (FAX)
Torque Energy Com (TSXV:TQE)
Historical Stock Chart
Von Jun 2024 bis Jul 2024
Torque Energy Com (TSXV:TQE)
Historical Stock Chart
Von Jul 2023 bis Jul 2024