Cardium Acquisition, $10 Million Equity Financing NOT FOR DISTRIBUTION OR DISSEMINATION IN THE UNITED STATES
FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF UNITED STATES SECURITIES LAW
CALGARY, Alberta, Sept. 28, 2021 (GLOBE NEWSWIRE) -- InPlay Oil Corp. (TSX: IPO) (OTCQX: IPOOF) (“InPlay” or the “Company”) is pleased to announce that it has entered into a definitive agreement (the "Agreement") to acquire Prairie Storm Resources Corp. ("Prairie Storm") (TSXV: PSEC), a light-oil Cardium focused producer with operations primarily in the Willesden Green area of central Alberta (the "Prairie Storm Assets") for total net consideration of approximately $40.5 million(1) (the "Acquisition").
The highly accretive Acquisition will be funded by a combination of a $10 million bought deal equity financing led by Eight Capital, as sole bookrunner, together with ATB Capital Markets as co-lead underwriters (the "Financing"), available borrowings under InPlay's Senior Credit Facility and the issuance to shareholders of Prairie Storm of approximately 8.3 million common shares of InPlay ("InPlay Shares") at a deemed price of $1.20 per InPlay Share. InPlay has received a commitment letter from its senior lenders (the "Lenders") with respect to an increase in the aggregate available borrowing capacity of its Senior Credit Facility from $65.0 million to $85.0 million, subject to and conditional upon the completion of the Acquisition.
https://www.globenewswire.com/news-release/2021/09/28/2304918/0/en/InPlay-Oil-Corp-Announces-Accretive-Strategic-Cardium-Acquisition-10-Million-Equity-Financing-and-Increased-Senior-Credit-Facility.html