PriceSensitive

Tidewater Midstream (TSX:TWM) upsizes bought deal financing

Energy, The Market Online Deal Room
TSX:TWM
28 July 2022 10:45 (EST)

Source: LinkedIn

Tidewater Midstream and Infrastructure (TWM) is upsizing its bought deal public offering for gross proceeds of $50.5 million.

A syndicate of underwriters, led by CIBC Capital Markets, National Bank Financial, RBC Capital Markets and ATB Capital Markets, have agreed to buy on a bought deal basis 42,080,000 units, at $1.20 per unit for gross proceeds of $50.5 million.

In total, Tidewater will issue $85 million of units under the public offering and private placement.

Each unit will consist of one common share and one-half of one share purchase warrant. Each whole warrant will entitle the holder to acquire one additional share for a period of 24 months.

The company has granted the underwriters an option to purchase an additional 15 per cent of the public offering. 

The offering is expected to close on or about August 16, 2022.

Proceeds from the offering and other borrowing facilities, will be used to repay Tidewater’s existing senior unsecured notes due December 19, 2022 and second lien term loan due October 31, 2022.

Tidewater is a western Canadian midstream company focused on natural gas processing, fractionation, liquids upgrading, storage and transportation, and marketing.

Tidewater Midstream and Infrastructure Ltd. (TWM) is down 8.40 per cent on the day, trading at C$1.20 per share at 10:45 am ET.


Related News