Argent Energy Trust (“Argent”) completed a public offering of 12,650,000 trust units at a price of $10.00 per trust unit for aggregate gross proceeds of $126.5 million, which included 1,650,000 trust units issued on the exercise in full of the over-allotment option granted to the underwriters. The net proceeds of the offering, an advance of approximately US$6.1 million under credit facilities and approximately US$6.6 million of working capital, were used by Argent to acquire producing petroleum properties in the Manvel Field in Brazoria County, Texas and the NE Davis, SW Mayville and Payne Fields in Southern Oklahoma for a purchase price of US$131.7 million, after preliminary closing adjustments.
The offering was completed through a syndicate of underwriters co-led by Scotia Capital Inc., CIBC World Markets Inc. and RBC Capital Markets, and including BMO Capital Markets, TD Securities Inc., National Bank Financial Inc., Canaccord Genuity Corp., FirstEnergy Capital Corp., Acumen Capital Finance Partners Limited, Cormark Securities Inc., Dundee Securities Ltd. and GMP Securities L.P.
Argent was represented by Bennett Jones LLP with a team that included David Phillips, Harinder Basra, Tommy Wong and Tessa Guenther (securities); Robert McCue (tax) and Karen Dawson and Patrick Trumpy (banking); and in the United States by Vinson & Elkins LLP, with a team that included Jim Prince, Mark Spradling, Adam Law and Melvin Huang (securities) and Tim Devetski and Debra Duncan (tax).
The underwriting syndicate was represented by Blake, Cassels & Graydon LLP with a team that included Ross Bentley, Jeff Bakker, Stefan McConnell and Chris Salamon (securities); Robert Kopstein and John May (tax) and Warren Nishimura and Drew Campbell (banking); and in the United States by Bracewell & Giuliani LLP, with a team that included Bryan Loocke and Stephen Boone (energy); William Anderson and Ian Brown (securities); Lance Behnke (tax); Tim Wilkins (environmental) and Trevor Wommack (banking).