TSX:WFE - Post Discussion
Post by
eebler on Jul 01, 2011 8:19am
Merger Complete
Merger is officially complete.
https://www.marketwire.com/press-release/westfire-energy-completes-strategic-merger-with-orion-oil-gas-creating-uniquely-positioned-tsx-wfe-1533867.htm
Major share/financial stats resulting from it. Essentially went from about 3000-3500 boe/d to 9000 overnight for a 2.5-3x jump. Shares basically doubled, but now there is more cashflow to fund drilling. The pr says that they intend to be in the range of 12000 boe/d within 18 months, so that is another >30% growth factor. Oil is off today on the result of China manufacturing slowdown, but this is now a very strong longer-term play. It will be interesting to see how the market values the company starting next week.
eebleer
WESTFIRE POST ARRANGEMENT
Notes:
- The market capitalization is calculated based on the June 30, 2011 WestFire share price of $6.85 and pro forma share capital.
- Based on 67.4 million WestFire Shares and 15.6 million WestFire Non-Voting Shares at closing.
- Net debt as at March 31, 2011 for WestFire and Orion (including transaction costs).
- Reserves evaluated by GLJ Petroleum Consultants as at December 31, 2010, mechanically updated to March 31, 2011 for both WestFire and Orion.
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