CALGARY, Alberta, Oct 14 - Crescent Point Energy Corp (CPG.TO) said on Wednesday it plans to sell shares worth C$500.3 million ($486 million) to a group of underwriters, with the cash earmarked to cut debt or acquire rivals.
Crescent Point, which concentrates on producing oil from the prolific Bakken formation in southeastern Saskatchewan, will sell 13.43 million shares, priced at C$37.25 each, to a syndicate led by BMO Capital Markets, Scotia Capital Inc and Canadian Imperial Bank of Commerce.
The underwriters have an option to buy an additional 2.01 million shares if demand warrants, boosting potential gross proceeds to C$575.3 million.
Crescent Point, which has already expanded this year by buying Talisman Energy Inc's (TLM.TO) properties in the Bakken area and by acquiring closely held Wave Energy Inc for C$665 million, said the money will be used to cut debt, fund capital spending or to pay for acquisitions.
The company's shares rose 74 Canadian cents to C$38.54 on Wednesday on the Toronto Stock Exchange. The shares have risen 55 percent over the past 12 months.
($1=$1.03 Canadian)
Crescent Point, which concentrates on producing oil from the prolific Bakken formation in southeastern Saskatchewan, will sell 13.43 million shares, priced at C$37.25 each, to a syndicate led by BMO Capital Markets, Scotia Capital Inc and Canadian Imperial Bank of Commerce.
The underwriters have an option to buy an additional 2.01 million shares if demand warrants, boosting potential gross proceeds to C$575.3 million.
Crescent Point, which has already expanded this year by buying Talisman Energy Inc's (TLM.TO) properties in the Bakken area and by acquiring closely held Wave Energy Inc for C$665 million, said the money will be used to cut debt, fund capital spending or to pay for acquisitions.
The company's shares rose 74 Canadian cents to C$38.54 on Wednesday on the Toronto Stock Exchange. The shares have risen 55 percent over the past 12 months.
($1=$1.03 Canadian)
