In a vote on Friday afternoon, owners of 68.75 per cent of the shares represented at the meeting voted in favour of a proposal which allows each shareholder to retain their shares or elect to be paid
The company is also offering to issue two warrants per share, allowing the holder to buy more shares at an exercise price of
In an earlier meeting on Friday, holders of Calfrac's senior unsecured notes voted 99.7 per cent in favour of the proposal, which allows them to swap debt for shares, leaving existing shareholders with about eight per cent of the equity.
The proposal required at least two-thirds approval from both sets of stakeholders to proceed.
Wilks Brothers had offered to pay
Calfrac warned last month that if the court-supervised reorganization under the Canada Business Corporations Act is not completed, it would go back to an earlier plan through a Companies' Creditors Arrangement Act process that would likely result in a reduced recovery for shareholders.
Wilks responded that it would continue to honour its takeover offer even if the company does enter a CCAA process.
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