Tourmaline Oil Corp. completed the acquisition of Chinook Energy Inc..
The transaction will require the approval of 66 2/3% of the votes cast by the Chinook shareholders. All of the Directors and Executive Officers of Chinook and a significant shareholder of Chinook have entered into support agreements and have agreed to vote an aggregate of approximately 37% of the outstanding Chinook shares in favor of the transaction, subject to the provisions of such support agreements. The transaction has been unanimously approved by special committee of the Board of Chinook. The Board of Directors of Chinook unanimously recommended that its Shareholders vote in favour of the resolution approving the arrangement. A committee of independent directors of Chinook's Board of Directors has been appointed to consider the arrangement. As of April 20, 2020, Chinook's shareholder approved the transaction and Chinook received court approval for the transaction. Closing of the transaction anticipated to occur in late April 2020. As of March 10, 2020, the transaction is expected to be completed on or about April 21, 2020. Peters & Co. Limited provided an opinion that the consideration to be received by Chinook's Shareholders pursuant to the arrangement is fair, from a financial point of view, to the Chinook's shareholders. Simmons Energy | A Division of Piper Jaffray acted as financial advisor to Tourmaline Oil Corp. Andrew Sunter and Joanne Luu of Burnet, Duckworth & Palmer LLP acted as legal advisors for Chinook. AST Trust Company (Canada) acted as depositary in the transaction.
Tourmaline Oil Corp. (TSX:TOU) completed the acquisition of Chinook Energy Inc. (TSX:CKE) on April 21, 2020. The Chinook shares will be delisted from the Toronto Stock Exchange within two to three business days. Chinook has also applied to cease to be a reporting issuer in all provinces and territories of Canada.