Pengrowth Energy Trust Increases Size of Bought Deal Financing
Pengrowth Energy Trust has entered into an agreement to increase the size of a previously announced offering. Pengrowth has entered into an agreement with a syndicate of underwriters, led by RBC Capital Markets as sole bookrunner and BMO Capital Markets as co-lead manager, under which they have agreed to purchase from Pengrowth and sell to the public 28,847,000 Trust Units.
The purchase price of Cdn $10.40 per Trust Unit will result in gross proceeds to Pengrowth of approximately Cdn $300 million. The offering is expected to close on or about October 23, 2009. Purchasers under the offering will be entitled to receive the monthly distribution of Cdn $0.07 per Trust Unit with a record date of October 30, 2009 and payable on November 16, 2009.
The net proceeds from the offering will be used to repay indebtedness under our credit facilities and for general corporate purposes.