CALGARY, ALBERTA–(Marketwired – May 10, 2016) – Enerplus Corporation (“Enerplus” or the “Company”) (TSX:ERF)(NYSE:ERF) has entered into an agreement with a syndicate of underwriters led by BMO Capital Markets, RBC Capital Markets and TD Securities Inc., under which the underwriters have agreed to buy on a bought deal basis 29,000,000 common shares of the Company (the “Common Shares”) at a price of C$6.90 per Common Share for gross proceeds of C$200,100,000 (the “Offering”). The Company has granted the Underwriters an option, exercisable at the offering price for a period of 30 days following the closing of the Offering, to purchase up to an additional 15% of the Offering to cover over-allotments, if any and for market stabilization purposes. The Offering is expected to close on May 31, 2016 and is subject to Enerplus receiving all necessary regulatory and stock exchange approvals, and other customary conditions to closing.
The net proceeds from the Offering will be used to reduce indebtedness under the Company’s bank credit facility, to fund its capital expenditures and for general corporate purposes.
The Common Shares will be offered by way of a short form prospectus in all of the provinces and territories of Canada and may also be offered by way of private placement in the United States.
The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
Additional corporate information can be found in our website at www.enerplus.com or on www.sedar.com.