CGX Energy Inc. announced the offering of rights to holders of common shares on the basis of one Right for each common share held. Each Right entitles the holder to subscribe for one common share at a subscription price of C$0.25. for aggregate gross proceeds to CGX in the amount of approximately C$29 million. The equity offering is taking place in Canada and most states in the United States. Frontera Energy Corporation has provided a standby commitment to purchase any unexercised Rights in connection with the rights offering. CGX is a Canadian-based oil and gas exploration company focused on the exploration of oil in the Guyana-Suriname Basin.
Fasken advised CGX on this transaction with a team led by Garth Foster, Krisztian Toth, Florind Polo and Zach Austin (securities/corporate).
