Deal gives Geopetrol concentrated control of the company, Amira claims
By Devika Patel
Knoxville, Tenn., Dec. 9 - Sonoro Energy Ltd. said it raised C$2.4 million in a non-brokered private placement of stock. The deal priced for up to C$2.6 million on Oct. 15.
The company sold 29,961,438 common shares at C$0.08 per share. The purchase price is a 700% premium to the C$0.01 closing price of the company's common stock on Oct. 11.
Geopetrol International Holding Inc. invested C$2.1 million, as expected at pricing, and is now a control person, the company reported in a press release at settlement.
In connection with the placement, Sonoro consolidated its common shares on the basis of one post-consolidation common share for every 10 common shares held.
As previously reported, shareholder Amira Industries NV voted on Nov. 27 to reject the private placement.
Amira claimed that the placement had been structured in a way that concentrates Geopetrol's control of the company at the expense of all other shareholders. As a result of a completed stock sale, Amira said in a press release, Geopetrol will increase its 17.4% holding to 52.4% at a price 20% below the market price and dilute the company's outstanding share capital by 55%. Amira claimed Geopetrol is privy to information not available to minority shareholders and is being permitted to circumvent investor protections that apply to takeover bids under Canadian securities laws.
Vancouver, B.C.-based Sonoro Energy is a bitumen exploration and development company with a current focus of a pure play on asphalt resource exploration and development in Iraq.
| Issuer: | Sonoro Energy Ltd.
|
| Issue: | Post-consolidation common shares
|
| Amount: | C$2,396,915
|
| Units: | 29,961,438
|
| Price: | C$0.08
|
| Warrants: | No
|
| Agent: | Non-brokered
|
| Investors: | Geopetrol International Holding Inc. (for C$2,104,000)
|
| Pricing date: | Oct. 15
|
| Settlement date: | Dec. 9
|
| Stock symbol: | TSX Venture: SNV
|
| Stock price: | C$0.01 at close Oct. 11
|
| Market capitalization: | C$1.32 million
|
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