Veresen Announces Closing of $150 Million Preferred Share Offering
/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES( )OR FOR
DISSEMINATION IN THE UNITED STATES/
CALGARY, Oct. 21, 2013 /CNW/ - Veresen Inc. ("Veresen") (TSX: VSN) is pleased
to announce that it has closed its previously announced bought deal offering
of 6,000,000 Cumulative Redeemable Preferred Shares, Series C (the "Series
Preferred Shares") at a price of $25.00 per share representing aggregate gross
proceeds of $150,000,000 (the "Offering").
The Offering was first announced by Veresen on October 9, 2013 when Veresen
entered into an agreement with a syndicate of underwriters co-lead by
Scotiabank, TD Securities Inc. and CIBC.
Proceeds from the Offering will be used to reduce indebtedness and for general
The Series C Preferred Shares have been rated Pfd-3 (High) by DBRS Limited and
P-3 (High) by Standard & Poor's, a division of The McGraw Hill Companies, Inc.
The Series C Preferred Shares will begin trading on the Toronto Stock Exchange
today under the symbol "VSN.PR.C".
The Series C Preferred Shares have not been registered under the U.S.
Securities Act of 1933, as amended, and may not be offered or sold in the
United States absent registration or an applicable exemption from the
registration requirements. This news release shall not constitute an offer to
sell or the solicitation of an offer to buy, nor shall there be any offer,
solicitation or sale of the securities in any state in which such offer,
solicitation or sale would be unlawful.
About Veresen Inc.
Veresen is a publicly-traded dividend paying corporation based in Calgary,
Alberta, that owns and operates energy infrastructure assets across North
America. Veresen is engaged in three principal businesses: a pipeline
transportation business comprised of interests in two pipeline systems, the
Alliance Pipeline and the Alberta Ethane Gathering System; a midstream
business which includes ownership interests in a world-class natural gas
liquids extraction facility near Chicago, the Hythe/Steeprock complex and
other natural gas and NGL processing energy infrastructure; and a power
business with renewable and gas-fired facilities and development projects in
Canada and the United States, and district energy systems in Ontario and
Prince Edward Island. Veresen is actively developing a number of greenfield
projects and, in the normal course of its business, regularly evaluates and
pursues acquisition and development opportunities.
Veresen's common shares, Series A Preferred Shares and 5.75% convertible
unsecured subordinated debentures, Series C due July 31, 2017 are listed on
the Toronto Stock Exchange under the symbols "VSN", "VSN.PR.A" and VSN.DB.C",
respectively. For further information, please visit www.vereseninc.com.
(Forward Looking Information)
Certain information contained herein relating to, but not limited to, Veresen
and its businesses and the offering of the Series C Preferred Shares,
constitutes forward-looking information under applicable securities laws. All
statements, other than statements of historical fact, which address
activities, events or developments that Veresen expects or anticipates may or
will occur in the future, are forward-looking information. Forward-looking
information typically contains statements with words such as "may",
"estimate", "anticipate", "believe", "expect", "plan", "intend", "target",
"project", "forecast" or similar words suggesting future outcomes or outlook.
Forward-looking statements in this news release include, but are not limited
to, statements with respect to the use of the proceeds of the Offering and
dividend rates. Additional information on risks, uncertainties and factors
that could affect Veresen's operations or financial results is included in its
filings with the securities commissions or similar authorities in each of the
provinces of Canada, as may be updated from time to time. Readers are also
cautioned that such additional information is not exhaustive. The impact of
any one risk, uncertainty or factor on a particular forward-looking statement
is not determinable with certainty as these factors are independent and
management's future course of action would depend on its assessment of all
information at that time. Although Veresen believes that the expectations
conveyed by the forward-( )looking information are reasonable based on
information available on the date of preparation, no assurances can be given
as to future results, levels of activity and achievements. Undue reliance
should not be placed on the information contained herein, as actual results
achieved will vary from the information provided herein and the variations may
be material. Veresen makes no representation that actual results achieved will
be the same in whole or in part as those set out in the forward-looking
information. Furthermore, the forward-looking statements contained herein are
made as of the date hereof, and Veresen does not undertake any obligation to
update publicly or to revise any forward-looking information, whether as a
result of new information, future events or otherwise, except as required by
applicable laws. Any forward-looking information contained herein is expressly
qualified by this cautionary statement.
SOURCE Veresen Inc.
Dorreen Miller Director, Investor Relations Phone: (403) 213-3633
To view this news release in HTML formatting, please use the following URL:
CO: Veresen Inc.
NI: OIL NEWSTK
-0- Oct/21/2013 12:23 GMT
Press spacebar to pause and continue. Press esc to stop.