On June 19, 2000, Edge Energy Inc. (Edge) and Ventus Energy Ltd. (Ventus) entered into an agreement providing for the merger of their respective businesses pursuant to a statutory plan of arrangement to create a premier intermediate oil and gas company. Under the terms of the plan of arrangement, each common share of Edge would be exchanged for 0.375 of a common share of Ventus and each option to acquire a common share of Edge would be exchanged for an option to acquire a common share of Ventus. The transaction is valued at approximately $150 million and the combined company will have a market capitalization of approximately $250 million.
At shareholder meetings held on August 11, 2000, the shareholders of Edge overwhelmingly approved the plan of arrangement and the shareholders of Ventus overwhelmingly approved the issuance of the common shares and stock options pursuant to the plan of arrangement. The final order approving the plan of arrangement was granted by the Alberta Court of Queen’s Bench on August 11, 2000.
Burnet, Duckworth & Palmer acted for Edge with a team comprised of John A. Brussa, Grant A. Zawalsky and Shannon M. Gangl. Gowling Lafleur Henderson LLP acted for Ventus with a team comprised of Gregory G. Turnbull, Kurtis T. Kulman and Murray J. Desrosiers with assistance from Léonard Serafini of the firm’s Montreal office.