CALGARY, AB – Spartan Delta Corp. (“Spartan” or the “Company“) (TSXV: SDE); (TSXV: SDE.R) is pleased to announce it has closed its previously announced bought deal public offering of 11,250,000 subscription receipts (the “Subscription Receipts“) at a price of $4.00 per Subscription Receipt for aggregate gross proceeds of $45.0 million (the “Prospectus Offering“). The syndicate of underwriters for the Prospectus Offering was led by National Bank Financial Inc. and included Eight Capital, Stifel Nicolaus Canada Inc., TD Securities Inc., Scotia Capital Inc. and Peters & Co. Limited.
Each Subscription Receipt represents the right to receive, without payment of additional consideration or further action on the part of the holder thereof, one common share of Spartan (a “Common Share“) upon the completion of: (a) the previously announced acquisition of all of the issued and outstanding common shares of Inception Exploration Ltd. (the “Acquisition“); and (b) a non-brokered private placement of Common Shares and Common Shares to be issued on a “CDE” flow-through basis for aggregate gross proceeds of not less than $75.56 million (the “Private Placement“). Closing of the Acquisition and the Private Placement are expected to occur on or about March 18, 2021.
The gross proceeds from the sale of Subscription Receipts have been placed in escrow pending the completion of the Acquisition and the Private Placement. If the Acquisition and Private Placement are completed at or before 5:00 p.m. (Calgary time) on May 31, 2021, the net proceeds from the sale of the Subscription Receipts will be released from escrow to Spartan and each Subscription Receipt will automatically be exchanged for one Common Share for no additional consideration and without any action on the part of the holder. If the Acquisition and Private Placement are not completed at or before 5:00 p.m. (Calgary time) on May 31, 2021, then the purchase price for the Subscription Receipts will be returned pro-rata to subscribers, together with a pro-rata portion of the interest earned on the escrowed funds.
It is anticipated that the Subscription Receipts will be listed and posted for trading on the TSX Venture Exchange (the “TSXV“) under the symbol “SDE.R” at the open of markets today.
About Spartan Delta Corp.
Spartan is an energy company whose ESG-focused culture is centered on generating sustainable free funds flow through oil and gas exploration and development. Building on its existing high-quality, low-decline operated production in west central Alberta, and oil-weighted growth assets in the Alberta Montney, Spartan intends to continue acquiring diversified assets that can be restructured, optimized and rebranded, financially or operationally, yielding an increase to shareholder value. Further detail is available in Spartan’s corporate presentation, which can be accessed on its website at www.spartandeltacorp.com.