RE:Think about this....You are correct. Here is the NR when they bought the U S production.
2014-02-07 08:42 ET - In the News
The Globe and Mail reports in its Friday edition Baytex Energy has launched a friendly $1.8-billion bid for Australia's Aurora Oil & Gas. The Globe's Jeffrey Jones and Carrie Tait write the acquisition will give Baytex a position in the "red-hot" Eagle Ford shale oil formation in Texas. Baytex has agreed to pay $4.10 (Australian) or $4.06 (Canadian) per Aurora share, a 52-per-cent premium above the last week's average. Baytex will assume $744-million (Canadian) of long-term debt, lifting the value of the transaction to about $2.5-billion. The company has pledged to increase its monthly dividend by 9 per cent to 24 cents a share after the deal closes. Most of Aurora's Eagle Ford acreage is in a field called Sugarkane. The deal flow in the Canadian oil patch slowed to a trickle in 2013 as American investor interest waned. To help finance the deal, Baytex is issuing $1.3-billion of subscription receipts in a bought deal. The sheer size of the deal for Baytex, and assumption of debt, is a little worrisome, said Laura Lau, senior portfolio manager at Brompton Funds, which does not own Baytex shares. "It is manageable, but certainly the balance sheet is no longer pristine," Ms. Lau said.