CALGARY, AB, Feb. 3, 2021 /CNW/ - Enerplus Corporation
("Enerplus" or the "Company") (TSX: ERF) (NYSE: ERF) is pleased to
announce that it has closed the equity offering (the
"Offering") previously announced on January 25, 2021. Upon closing of the Offering, a
total of 33,062,500 Common Shares ("Common Shares") were
issued at a price of C$4.00 per
Common Share for gross proceeds of C$132,250,000. This includes 4,312,500 Common
Shares issued pursuant to the exercise by the underwriters of the
over-allotment option in full. The syndicate of underwriters
was led by RBC Capital Markets and BMO Capital Markets. The net
proceeds of the Offering, together with US$400 million to be drawn on a new three-year
term loan obtained by Enerplus in connection with the previously
announced proposed acquisition of Bruin E&P HoldCo, LLC
(the "Acquisition"), are intended to be used to finance
the US$465 million purchase price for
the Acquisition, and to fund capital expenditures on the acquired
properties and other expenses in connection with the Acquisition.
If, however, the Acquisition is not completed, the net proceeds
from the Offering will be used to partially fund capital
expenditures, as well as the repayment of near-term maturities on
the Company's senior notes and for other general corporate
purposes.
The Common Shares were offered by way of a prospectus supplement
to Enerplus' final short form base shelf prospectus filed in all of
the provinces and territories of Canada, and were also offered by way of
private placement to qualified institutional buyers in the United States pursuant to exemptions from
the registration requirements of the U.S. Securities Act of 1933,
as amended, (the "U.S. Securities Act").
The securities offered have not been registered under the U.S.
Securities Act, as amended, or any U.S. state securities laws and
may not be offered or sold in the United
States absent registration or an available exemption from
the registration requirements of the U.S. Securities Act and
applicable U.S. state securities laws. This news release shall not
constitute an offer to sell or the solicitation of an offer to buy
nor shall there be any sale of the securities in any jurisdiction
in which such offer, solicitation or sale would be unlawful.
About Enerplus
Enerplus is an independent North American oil and gas
exploration and production company focused on creating long-term
value for its shareholders through a disciplined, returns-based
capital allocation strategy and a commitment to safe, responsible
operations.
Ian C. Dundas
President & Chief Executive Officer
Enerplus Corporation
Forward-Looking Information and Statements
This press release contains certain forward-looking information
and statements ("forward-looking information") within the meaning
of applicable securities laws. The use of any of the words
"expect", "anticipate", "continue", "estimate", "guidance",
"ongoing", "may", "will", "project", "plans", "budget", "strategy"
and similar expressions are intended to identify forward-looking
information. In particular, but without limiting the foregoing,
this press release contains forward-looking information pertaining
to the anticipated completion of the Acquisition and term loan
financing, including expected size, terms and completion
thereof.
The forward-looking information contained in this press release
reflects several material factors and expectations and assumptions
of Enerplus including, without limitation, that the Acquisition
will be completed substantially on the terms and within the
timeline described in this press release. Enerplus believes the
material factors, expectations and assumptions reflected in the
forward-looking information are reasonable but no assurance can be
given that these factors, expectations, and assumptions will prove
to be correct. The forward-looking information included in this
press release is not a guarantee of future performance and should
not be unduly relied upon. Such information involves known and
unknown risks, uncertainties and other factors that may cause
actual results or events to differ materially from those
anticipated in such forward-looking information including, without
limitation: failure to complete the Acquisition, at all or on terms
or within the timeline described in this press release, and other
risks detailed from time to time in the Corporation's public
disclosure documents. Enerplus assumes no obligation to update any
forward-looking statements, unless otherwise required by law.
SOURCE Enerplus Corporation