Hemisphere Energy (TSX:V.HME, Stock Forum), a Vancouver-based firm engaged in the acquisition, exploration, development and production of petroleum and natural gas, announced today that the company had entered into an agreement with a syndicate of underwriters led by Canaccord Genuity.
According to the news release, the underwriters have agreed to acquire on a bought-deal basis, 13,333,500 common shares of the company at a rate of $0.75 per common share for aggregate gross proceeds of $10,000,125.
The release went on to note that Hemisphere will grant the underwriters an option to purchase up to 2.0 million common shares which can be exercised for a period of thirty days after the date of closing in order to cover any over-allotments.
Proceeds from the transaction will be utilized to accelerate the company's capital program with a focus on continuing to develop its Atlee Buffalo and Jenner properties as well as general corporate purposes.
Hemisphere was in the news recently when the company announced year-end 2013 financial results a little over a week ago.
Shares fell 6.02% on the news to $0.78 per share.
Currently there are 61.3m outstanding shares with a market cap of $47.8 million.