Cardinal Energy Ltd. Announces Approval of Debenture Amendments and Commencement of Exchange Right
June 19 2020 - 4:45PM
Cardinal Energy Ltd. ("
Cardinal") (TSX: CJ)
announces that 99.54% of the holders of our 5.50% convertible
debentures that voted at the extraordinary meeting of
debentureholders held earlier today have voted in favour of a
resolution approving certain amendments to the debentures. As a
result, all debentureholders now have the right to exchange their
debentures for a new series of 8.00% convertible debentures. This
right must be exercised prior to 5:00 p.m. (Eastern time) on
Monday, July 20, 2020 (unless otherwise terminated, extended or
amended by us).
Please contact us via email at
info@cardinalenergy.ca or our exchange agent, Computershare
Investor Services Inc., at 1-800-564-6253 or via email at
corporateactions@computershare.com if you need any assistance in
exercising your exchange right. The exchange right is
optional so you must contact your broker to have your exchange
right in order to receive the extended debentures.
The new debentures will be similar in all
material ways to the existing debentures except that, the new
debentures:
- will have a maturity date of December 31, 2022, compared to
December 31, 2020, for the existing debentures;
- will bear interest at the rate of 8.00% per annum, payable in
equal instalments semi-annually in arrears on June 30 and December
31 in each year, compared to 5.50% for the existing
debentures;
- will be convertible into our common shares at a conversion
price (as defined in the Indenture) of $1.25 per share, compared to
$10.50 per share for the existing debentures;
- will not be redeemable by us prior to December 31, 2020;
and
- as a consequence of the reduction in the conversion price, will
have a different number of additional shares that are payable in
connection with a change of control of us in certain
circumstances.
The amendments and the terms of the exchange
right are more fully described in our information circular dated
May 24, 2020 which is available under our SEDAR profile at
www.sedar.com and our website at www.cardinalenergy.ca
We have the right, in our sole discretion, at
any time or from time to time, to extend the period of time during
which the exchange right is open, and to vary the terms of the
exchange right. We also have the right, in our sole discretion,
prior to the expiry time: (a) to not exchange and return all
tendered debentures to the holders thereof; and/or (b) at any time
or from time to time, to vary the terms of the exchange right in
any respect, subject to compliance with the indenture governing the
debentures, as amended.
About Cardinal Energy Ltd.
One of Cardinal's goals is to continually
improve our Environmental, Safety and Governance mandate and
operate our assets in a responsible and environmentally sensitive
manner. As part of this mandate, Cardinal injects and conserves
more carbon than it directly emits making us one of the few
Canadian energy companies to have a negative carbon footprint.
Cardinal is a Canadian oil focused company with
operations focused on low decline light, medium and heavy quality
oil in Western Canada.
For further information: M.
Scott Ratushny, CEO or Shawn Van Spankeren, CFO or Laurence Broos,
VP Finance Email: info@cardinalenergy.caPhone: (403) 234-8681
Website: www.cardinalenergy.ca
Cardinal Energy (TSX:CJ)
Historical Stock Chart
From Sep 2024 to Oct 2024
Cardinal Energy (TSX:CJ)
Historical Stock Chart
From Oct 2023 to Oct 2024