Offer ExtendedHigh Arctic Extends Offer for Wenzel, Responds to Income Trust
RED DEER, AB, Jul 5, 2006 (Canada NewsWire via COMTEX News Network) --
High Arctic Energy Services Trust (the "Trust") (TSX: HWO.UN), through its indirect subsidiary High Arctic Energy Services Limited Partnership ("High Arctic"), today announced that its offer to acquire all the shares of Wenzel Downhole Tools Ltd. ("Wenzel"), due to expire today, will be extended to Tuesday, July 18, 2006.
"We've extended our offer to allow all Wenzel shareholders time to fully consider their options in light of recent developments," said Jed Wood, President and Chief Executive Officer of High Arctic. "We believe Wenzel's proposal to reorganize into an income trust is an unrealistic alternative that follows the Alberta Securities Commission's rejection of Wenzel's position. Despite this delaying tactic, our offer still represents a premium price and it remains the best option available for Wenzel shareholders."
The offer, as extended, is now open for acceptance until 5 p.m. (Calgary time) on July 18, 2006, unless further extended or withdrawn. The offer price for each share of Wenzel remains unchanged at $2.75. The offer also provides for holders of Wenzel shares to elect to receive $2.30 in cash for each Wenzel share tendered to the offer and certain Wenzel shareholders holding more than 40% of the Wenzel shares (on a fully diluted basis) have entered into a voting and tender agreement with the Trust pursuant to which they have agreed to elect to receive $2.30 per Wenzel share. A Wenzel shareholder who does not properly indicate an election will be deemed to have elected to receive $2.75 per share for all Wenzel shares deposited under the Offer.
Wenzel shareholders wishing to accept the Offer must deposit their Wenzel shares, together with a properly completed and duly executed letter of transmittal with Valiant Trust Company, the depositary, at its offices in Calgary or Toronto. Wenzel shareholders whose Wenzel shares are registered in the name of an investment dealer should contact their investment advisor for assistance in depositing their Wenzel shares to the Offer. Questions may be directed to Wolverton Securities Ltd., the dealer manager, at 1-888-263-8808 (toll-free).
GLTA
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