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CALGARY,
AB, Oct. 22, 2024 /CNW/ - Topaz Energy Corp.
(TSX: TPZ) ("Topaz" or the "Company") is pleased to announce that
it has completed its previously announced bought-deal equity
financing (the "Equity Financing") of common shares ("Common
Shares").
Pursuant to the Equity Financing, Topaz issued 7,000,000 Common
Shares, in addition to 1,050,000 Common Shares issued pursuant to
the exercise in full of an over-allotment option granted to the
underwriters. The Common Shares were issued at a price of
$25.05 per Common Share for total
gross proceeds of approximately $201.7
million. The Equity Financing was made through a syndicate
of underwriters co-led by Peters & Co. Limited and National
Bank Financial Inc. and included BMO Nesbitt Burns Inc., Scotia
Capital Inc., RBC Dominion Securities Inc., CIBC World Markets
Inc., TD Securities Inc., ATB Securities Inc., Canaccord Genuity
Corp., Desjardins Securities Inc., Raymond James Ltd., and Tudor,
Pickering, Holt & Co. Securities – Canada, ULC.
Concurrent with the closing of the Equity Financing, certain
directors, officers, employees and their associates of the Company
purchased a total of 209,177 Common Shares at a price of
$25.05 per Common Share on a private
placement basis for gross proceeds of approximately $5.2 million. The aggregate gross proceeds from
the Equity Financing and concurrent private placement totalled
approximately $206.9 million, with
the proceeds to be used to fund a portion of the previously
announced acquisition of gross overriding royalty interests on
approximately 3.0 million gross acres, over 50% undeveloped, in its
NEBC Montney, Alberta Deep Basin and Peace River High core royalty
areas from Tourmaline Oil Corp. for $278.2
million, which acquisition is scheduled to be completed on
or about November 1, 2024.
ABOUT THE COMPANY
Topaz is a unique royalty and infrastructure energy company
focused on generating free cash flow growth and paying reliable and
sustainable dividends to its shareholders, through its strategic
relationship with Canada's largest
and most active natural gas producer, Tourmaline, an
investment-grade senior Canadian E&P company, and leveraging
industry relationships to execute complementary acquisitions from
other high-quality energy companies. Topaz focuses on top-quartile
energy resources and assets best positioned to attract capital in
order to generate sustainable long-term growth and
profitability.
Topaz's common shares are listed and posted for trading on the
TSX under the trading symbol "TPZ" and it is included in the
S&P/TSX Composite Index. This is the headline index for
Canada and is the principal
benchmark measure for the Canadian equity markets, represented by
the largest companies on the TSX.
For further information, please visit the Company's website at
www.topazenergy.ca. Topaz's SEDAR+ filings are available
at www.sedarplus.ca.
FORWARD-LOOKING STATEMENTS
This news release contains forward-looking statements and
forward-looking information (collectively, "forward-looking
statements") that relate to the Company's current expectations and
views of future events. These forward-looking statements relate to
future events or the Company's future performance. Any statements
that express, or involve discussions as to, expectations, beliefs,
plans, objectives, assumptions or future events or performance
(often, but not always, through the use of words or phrases such as
"will likely result", "are expected to", "expects", "will
continue", "is anticipated", "anticipates", "believes",
"estimated", "intends", "plans", "forecast", "projection",
"strategy", "objective" and "outlook") are not historical facts and
may be forward-looking statements and may involve estimates,
assumptions and uncertainties which could cause actual results or
outcomes to differ materially from those expressed in such forward
looking statements. No assurance can be given that these
expectations will prove to be correct and such forward-looking
statements included in this news release should not be unduly
relied upon. These statements speak only as of the date of this
news release. In particular and without limitation, this news
release contains forward-looking statements pertaining to the use
of proceeds from the Equity Financing and concurrent private
placement, the timing for the closing of the royalty acquisition
described in this news release and the Company's business as
described under the heading "About the Company" above.
Forward-looking information is based on a number of assumptions
including those highlighted in this news release and is subject to
a number of risks and uncertainties, many of which are beyond the
Company's control, which could cause actual results and events to
differ materially from those that are disclosed in or implied by
such forward-looking information. Such risks and uncertainties
include, but are not limited to, the failure to complete
acquisitions on the terms or on the timing announced or at all and
the failure to realize some or all of the anticipated benefits of
acquisitions (including the acquisition described in this news
release) including estimated royalty production, royalty production
revenue growth, and the factors discussed in the Company's recently
filed Management's Discussion and Analysis (See "Forward-Looking
Statements" therein), Annual Information Form (See "Risk Factors"
and "Forward-Looking Statements" therein) and other reports on file
with applicable securities regulatory authorities and may be
accessed through the SEDAR+ website (www.sedarplus.ca) or Topaz's
website (www.topazenergy.ca). Topaz does not undertake any
obligation to update such forward-looking information, whether as a
result of new information, future events or otherwise, except as
expressly required by applicable law.
SOURCE Topaz Energy Corp