Latest news with #Waterous
Business Wire
18 hours ago
- Business
- Business Wire
Waterous Energy Fund Announces Purchase of Subscription Receipts of Strathcona Resources Ltd.
CALGARY, Alberta--(BUSINESS WIRE)--Waterous Energy Fund Management Corp. (the " WEF Manager"), in its capacity as manager of Waterous Energy Fund III (Canadian) LP, Waterous Energy Fund III (US) LP, Waterous Energy Fund III (International) LP, Waterous Energy Fund III (Canadian FI) LP and Waterous Energy Fund III (International FI) LP (collectively, the " WEF Receiptholders") and as manager of certain other limited partnerships, including but not limited to, Waterous Energy Fund (Canadian) LP, Waterous Energy Fund (US) LP, Waterous Energy Fund (International) LP and Waterous Energy Fund II Aggregator LP (together with the WEF Receiptholders and certain other entities managed by the WEF Manager, the " WEF Funds"), today announced that on June 27, 2025 the WEF Receiptholders have purchased 21,400,000 subscription receipts (the " Subscription Receipt") of Strathcona Resources Ltd. (TSX: SCR) (the " Issuer"), at a price of $30.92 per Subscription Receipt, for an aggregate purchase price of $661,688,000.00 (the " Investment"). Immediately prior to the completion of the Investment, the WEF Funds collectively owned an aggregate of 170,536,718 common shares of the Issuer (the " Common Shares"), representing approximately 79.6% of the issued and outstanding Common Shares. Following the completion of the Investment, the WEF Funds collectively own an aggregate of 170,536,718 Common Shares, representing approximately 79.6% of the issued and outstanding Common Shares, and 21,400,000 Subscription Receipts, representing all of the issued and outstanding Subscription Receipts. The Subscription Receipts were purchased and are being held by the WEF Receiptholders for investment purposes and in connection with the Issuer's proposed acquisition of all of the issued and outstanding common shares of MEG Energy Corp. (TSX: MEG) not already owned by the Issuer or its affiliates, by way of a formal take-over bid (the " Offer"). The proceeds from the Investment will be used to partially fund the cash consideration payable by the Issuer under the Offer. The completion of the Offer remains subject to the satisfaction of customary conditions, including obtaining all required regulatory and stock exchange approvals. The applicable WEF Funds hold the Common Shares for investment purposes. The WEF Funds may, depending on market and other conditions and subject to applicable securities laws, change their beneficial ownership of the Subscription Receipts and/or the Common Shares, whether in the open market (solely with respect to the Common Shares), by privately negotiated agreements, or otherwise. Any transaction that any WEF Fund may pursue may be made at any time and from time to time without prior notice and will depend on a variety of factors, including, without limitation, the price and availability of the Issuer's securities, subsequent developments affecting the Issuer, its business and prospects, other investment and business opportunities available to the WEF Funds, general industry and economic conditions, the securities markets in general, tax considerations and other factors deemed relevant by the WEF Funds. Notwithstanding the foregoing, the WEF Funds and/or any of their affiliates may take such actions with respect to their investment in the Issuer as they deem appropriate, including developing plans or intentions or taking actions which relate to or would result in one or more of the transactions or matters referred to in paragraphs (a) through (k) of Item 5 of Form 62-103F1 – Required Disclosure Under the Early Warning Requirements. This news release is issued pursuant to National Instrument 62-103 – The Early Warning System and Related Take-Over Bid and Insider Reporting Issues. The WEF Receiptholders will file an early warning report with the applicable securities commission in each jurisdiction where the Issuer is a reporting issuer and will be available on the SEDAR+ profile of the Issuer at A copy of the early warning report may also be obtained by contacting Waterous Energy Fund's Chief Executive Officer at 403-930-6048 or info@ The head office of the Issuer is located at 1900, 421 – 7th Avenue SW, Calgary, Alberta T2P 4K9. The head office of the WEF Manager and the WEF Funds is located at 600, 301 – 8th Avenue SW, Calgary, Alberta T2P 1C5.
Calgary Herald
30-05-2025
- Business
- Calgary Herald
Strathcona's hostile bid for MEG Energy called the 'largest investment in the Canadian oilpatch in a decade'
Article content The terms of the deal are the same as a proposal that was originally made to MEG in April, which was subsequently rejected by the company's board on May 13. MEG indicated at the time that it was not interested in pursuing a combination, according to Strathcona. Article content In response to Strathcona's filing Friday, MEG urged shareholders to wait until the board could provide a formal recommendation. Article content MEG's board has formed a special committee of independent directors to evaluate the offer, the company said Friday, noting that it would provide a recommendation within 15 days. Article content Some MEG shareholders have taken the view that Strathcona's bid doesn't sufficiently recognize the quality of the oilsand firm's Christina Lake assets and the potential of its undeveloped holdings at the Surmont Project in the southern Athabasca region of Alberta. Article content Waterous said the deal provides MEG shareholders with an immediate nine per cent premium on MEG's shares, stronger per-share earnings and cash flow, and the potential for a re-rating of Strathcona that would lower borrowing costs and boost its stock valuation. Article content Article content If the bid succeeds, MEG would be Strathcona's 11th major acquisition. Article content Some MEG shareholders have said they're more than willing to throw their support behind a private-equity player with a track record for dealmaking. Article content Cole Smead, chief executive officer of Smead Capital Management Inc., said agreeing to Strathcona's offer would give MEG shareholders a piece of Waterous' private-equity fund without paying any management or performance fees. Article content 'We just get to ride along as a public shareholder and we get to gain the benefits of his capital-allocation stewardship, and we don't pay any performance fees to him,' Smead said. 'There's a divide in the energy business between people who are good capital allocators and people who are not. Adam Waterous is one of the best.' Article content Article content Sayer Energy Advisors had been predicting a more subdued year for merger-and-acquisition activity in the Canadian upstream oil and gas sector compared to 2024, with total transaction values projected to be in the $15-billion range. Article content Then Whitecap Resources Inc. and Veren Inc. (formerly Crescent Point Energy Corp.) announced their multi-billion-dollar merger in March, followed by nearly $4 billion more in M&A activity in the second quarter so far. Article content 'We're already higher than what we thought we were going to be for all of 2025,' Tom Pavic, Sayer Energy Advisors' president, said. 'And I'm not even counting (Strathcona's bid for MEG) because we don't know how this is going to shake out.' Article content
Winnipeg Free Press
30-05-2025
- Business
- Winnipeg Free Press
Strathcona formally launches takeover bid for oilsands peer MEG Energy
CALGARY – Strathcona Resources Ltd. has begun its formal takeover bid for fellow oilsands producer MEG Energy. Its offer comprises 0.62 of a common share of Strathcona and $4.10 in cash for each MEG share it doesn't already own. The offer is open until Sept. 15. MEG says its board and legal and financial advisers will consider the offer, and that a special committee of independent directors will assist. The target company is urging shareholders to take no action until it has made a recommendation, which it expects to do within 15 days. Strathcona also announced an equity commitment letter with Waterous Energy Fund, whose CEO Adam Waterous is executive chairman of Strathcona. Monday Mornings The latest local business news and a lookahead to the coming week. The fund owns almost 80 per cent of Strathcona shares, and the new investment is worth about $662 million. 'WEF's major further investment in Strathcona reflects our view that more than eight years into building Strathcona, our best years are in front of us. As part of the offer, we are asking MEG shareholders to join us as fellow shareholders in Strathcona and trust the Strathcona team as stewards of their capital,' Waterous said in a release Friday. 'We therefore believe it is important that we eat our own cooking, ensuring no one will be more focused on increasing Strathcona's value beyond current levels than WEF. We firmly believe Strathcona represents compelling value at this price with a large margin of safety, and that we and the partners in our fund will do very well over the long run.' This report by The Canadian Press was first published May 30, 2025. Companies in this story: (TSX: MEG, TSX: SCR)
Yahoo
30-05-2025
- Business
- Yahoo
Strathcona formally launches takeover bid for oilsands peer MEG Energy
CALGARY — Strathcona Resources Ltd. has begun its formal takeover bid for fellow oilsands producer MEG Energy. Its offer comprises 0.62 of a common share of Strathcona and $4.10 in cash for each MEG share it doesn't already own. The offer is open until Sept. 15. MEG says its board and legal and financial advisers will consider the offer, and that a special committee of independent directors will assist. The target company is urging shareholders to take no action until it has made a recommendation, which it expects to do within 15 days. Strathcona also announced an equity commitment letter with Waterous Energy Fund, whose CEO Adam Waterous is executive chairman of Strathcona. The fund owns almost 80 per cent of Strathcona shares, and the new investment is worth about $662 million. "WEF's major further investment in Strathcona reflects our view that more than eight years into building Strathcona, our best years are in front of us. As part of the offer, we are asking MEG shareholders to join us as fellow shareholders in Strathcona and trust the Strathcona team as stewards of their capital," Waterous said in a release Friday. "We therefore believe it is important that we eat our own cooking, ensuring no one will be more focused on increasing Strathcona's value beyond current levels than WEF. We firmly believe Strathcona represents compelling value at this price with a large margin of safety, and that we and the partners in our fund will do very well over the long run." This report by The Canadian Press was first published May 30, 2025. Companies in this story: (TSX: MEG, TSX: SCR) The Canadian Press
Yahoo
30-05-2025
- Business
- Yahoo
Strathcona's hostile bid for MEG Energy called the 'largest investment in the Canadian oilpatch in a decade'
The clock has officially started on Strathcona Resources Ltd.'s $6.7-billion hostile takeover bid for oilsands major MEG Energy Corp. Bypassing MEG's management, Strathcona has gone directly to shareholders with its cash-and-stock offer valued at $23.27 per share — representing a 9.3 per cent premium to MEG's closing price on May 15 — and they have until Sept. 15, 2025, to decide whether to accept the offer, according to a circular filed on Friday. The filing also confirmed and finalized a key element of financing for the deal, namely a $662-million equity commitment from Strathcona's controlling shareholder, Waterous Energy Fund (WEF), the Calgary-based private-equity firm founded and run by Strathcona chair and veteran oilpatch dealmaker Adam Waterous. The fund will buy 21.4 million shares at $30.92 each, providing the $662 million to fund the cash portion of the MEG offer and reduce the reliance on short-term debt. 'This is the largest single public or private-equity investment in the Canadian oil and gas patch in more than a decade,' Waterous said in an email. 'WEF backing up the truck on this acquisition is clear evidence that we believe that the creation of this new Canadian champion will provide compelling returns.' The terms of the deal are the same as a proposal that was originally made to MEG in April, which was subsequently rejected by the company's board on May 13. MEG indicated at the time that it was not interested in pursuing a combination, according to Strathcona. Some MEG shareholders have also taken the view that Strathcona's bid doesn't sufficiently recognize the quality of the oilsand firm's assets at Christina Lake, B.C., and the potential of its undeveloped holdings at the Surmont Project in Alberta and elsewhere. But Waterous may be counting on shareholders ignoring the modest premium in order to throw their support behind a private-equity player with a track record for dealmaking. Pivotal pipeline decision looms to determine fate of Canada's next big LNG terminal 'Energy is Canada's superpower,' says new minister Tim Hodgson 'WEF's major further investment in Strathcona reflects our view that more than eight years into building Strathcona, our best years are in front of us,' he said in a statement. 'We firmly believe Strathcona represents compelling value at this price with a large margin of safety, and that we and the partners in our fund will do very well over the long run.' • Email: mpotkins@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
