Veresen Completes Offerings

Veresen Inc. completed a bought deal offering of 24,725,000 subscription receipts at a price of $14.10 per subscription receipt for gross proceeds of approximately $349 million. The offering closed on December 16, 2011.

The net proceeds were used to partially finance the $920 million acquisition of the Hythe/Steeprock midstream gas gathering and processing complex from Encana Corporation and Encana Power and Processing ULC. The acquired business is located in the Cutbank Ridge region of Alberta and British Columbia.

The offering was made pursuant to an underwriting agreement with a syndicate of underwriters. The syndicate was led by TD Securities Inc., bookrunner, co-led by CIBC World Markets Inc. and Scotia Capital Inc., and included RBC Dominion Securities Inc., BMO Nesbitt Burns Inc., National Bank Financial Inc., Canaccord Genuity Corp., FirstEnergy Capital Corp., Haywood Securities Inc., HSBC Securities (Canada) Inc. and Macquarie Capital Markets Canada Ltd.

On February 14, 2012, Veresen Inc. completed a bought deal offering of 8,000,000 Cumulative Redeemable Preferred Shares, Series A at a price of $25.00 per share for aggregate gross proceeds of $200 million. Net proceeds were used to reduce indebtedness, partially fund capital expenditures as well as for other general corporate purposes.

The offering was made through a syndicate of underwriters with Scotia Capital Inc. and TD Securities Inc. having been appointed as the bookrunners, and including CIBC World Markets Inc., RBC Dominion Securities Inc., BMO Nesbitt Burns Inc., National Bank Financial Inc., Canaccord Genuity Corp. and HSBC Securities (Canada) Inc.

On the subscription receipt bought deal offering, Veresen was represented by Kevan King, Senior Vice President, General Counsel & Secretary of Veresen, and by Bennett Jones LLP. The Bennett Jones team was led by Renee Ratke (capital markets) and included Brent Kraus, Harinder Basra, Kahlan Mills and Sandra Malcolm (capital markets); Phil Backman and Karen Dawson (financial services) and Darcy Moch (tax).

On the preferred share offering, Bennett Jones's team was led by Renee Ratke (capital markets) and included Neil Stevenson, Brent Kraus, Harinder Basra, Kahlan Mills and Sandra Malcolm (capital markets) and Darcy Moch (tax).

On the bought deal offering of subscription receipts, the underwriters were represented by Blake, Cassels & Graydon LLP with a team led by Dan McLeod (capital markets) that comprised Colin Ritchie and Chris Salamon (capital markets); Duff Harper (environmental) and Carrie Aiken (tax); and by Andrew Foley and Philippe Savard of Paul, Weiss, Rifkind, Wharton & Garrison LLP.

On the bought deal offering of preferred shares, the underwriters were also represented by Blake, Cassels & Graydon with a team led by Dan McLeod (capital markets) that comprised Colin Ritchie, Alison Desipio and Chris Salamon (capital markets) and Carrie Aiken (tax).