RE:RE:Not sure I like the look of this bit…Blame Repsol.
Old PR stated: “The (Repsol) acquisition will be financed through an upsizing of the company's existing revolving credit facility, a new two-year amortizing term loan and net proceeds from a $125-million equity offering.
“Transaction financing: In connection with the acquisition, Peyto has entered into a debt commitment letter with the Bank of Montreal, Canadian Imperial Bank of Commerce and National Bank of Canada acting as underwriters, to provide aggregate debt commitments of $1.3-billion, which are expected to be comprised of an upsized $1-billion revolving credit facility to replace its existing $800-million revolving credit facility and a new $300-million two-year amortizing term loan.Further, Peyto has entered into an agreement with a syndicate of underwriters led by BMO Capital Markets, CIBC Capital Markets and National Bank Financial, for the issuance of 10.51 million subscription receipts on a bought deal basis, at an issue price of $11.90 per subscription receipt for total gross proceeds of approximately $125-million. Peyto has also granted the underwriters an option, exercisable, in whole or in part, at any time up to the earlier of 30 days following the closing of the equity offering and the occurrence of certain termination events with respect to the subscription receipts, to purchase up to an additional 15 per cent of the number of subscription receipts purchased by the underwriters under the equity offering at the offering price to cover overallotments, if any, and for market stabilization purposes”