Tourmaline Oil Corp. Announces Closing of Bought Deal Financing Including Exercise in Full of Over-Allotment Option

CALGARY, ALBERTA–(Marketwired – April 5, 2016)

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Tourmaline Oil Corp. (TSX:TOU) (“Tourmaline” or the “Company“) is pleased to announce that it has closed its public offering of 10,350,000 common shares at a price of $27.11 per share, which includes 1,350,000 common shares issued pursuant to the exercise in full of the over-allotment option, for gross proceeds of approximately $280.6 million. Concurrent with the closing of the public offering, certain directors, officers and employees of the Company and their associates, purchased a total of 37,500 common shares at the offering price of $27.11 per share on a private placement basis. The gross proceeds from the offering and concurrent private placement totalled approximately $281.6 million.
The public offering was underwritten by a syndicate of underwriters led by Peters & Co. Limited and included FirstEnergy Capital Corp., Scotia Capital Inc., National Bank Financial Inc., CIBC World Markets Inc., RBC Dominion Securities Inc., TD Securities Inc., BMO Nesbitt Burns Inc. and Raymond James Ltd.
The net proceeds of the offering and concurrent private placement will be used to temporarily reduce bank indebtedness under its credit facility, which will be available to be redrawn for general working capital purposes and future potential acquisition opportunities.
The securities offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act“), or any U.S. state securities laws and may not be offered or sold in the United States absent registration or an available exemption from the registration requirement of the U.S. Securities Act and applicable U.S. state securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities, in any jurisdiction in which such offer, solicitation or sale would be unlawful.
About Tourmaline Oil Corp.
Tourmaline is a Canadian senior crude oil and natural gas exploration and production company focused on long-term growth through an aggressive exploration, development, production and acquisition program in the Western Canadian Sedimentary Basin.
Forward-Looking Information
This news release contains forward-looking information that involves known and unknown risks and uncertainties, most of which are beyond Tourmaline’s control, including, without limitation, those listed under “Risk Factors” and “Forward-Looking Statements” in Tourmaline’s Annual Information Form and in its other filings available on SEDAR at www.sedar.com. Forward-looking information in this press release includes, but is not limited to, the anticipated use of proceeds of the offering and concurrent private placement. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking information. Accordingly, undue reliance should not be placed on this forward-looking information. This forward-looking information is made as of the date of this release and, other than as required by applicable securities laws, Tourmaline does not assume any obligation to update or revise it to reflect new events or circumstances. The forward-looking information contained in this release is expressly qualified by this cautionary statement.