By the OGJ Online Staff
HOUSTON, June 4 -- Samson Canada Ltd., Calgary, plans to acquire Courage Energy Inc., Calgary, for $5.20 (Can.)/share in cash and the assumption of $33 million in debt for a total transaction value of $171 million (Can.).
"This acquisition will significantly increase Samson's interests in the Fort St. John and Peace River Arch areas," Samson said.
The offer remains subject to the tendering of at least 66.6% of Courage shares and also regulatory approvals. All Courage directors and officers have said they intend to tender their shares to Samson.
UBS Warburg acted as financial advisor to Samson and will act as soliciting dealer manager.
Courage's board will recommend shareholders accept the offer, and Courage has agreed that it will not initiate discussions or negotiations with any other party concerning its assets or shares.
Courage has also agreed to pay a $6.9 million (Can.) noncompletion fee to Samson under certain circumstances.
Samson Canada is a subsidiary of Samson Investment Co., Tulsa, a private oil and gas company with operations in the US, Canada, Russia, and Venezuela. Samson has operated in Canada since 1989, exploring for and acquiring production in western Canada. Samson Canada produces 13,000 boe/d.
