Petro-Victory Raises $10.9 Million, Gains New Significant Shareholder
Petro-Victory Energy Corp (TSXV: VRY) appears to have capitalized on the recent bullishness within the energy markets. The firm this morning announced the closing of a $10.9 million financing.
Under the terms of the financing, the company sold units of the company at a price of $2.00 per each, with a total of 5.4 million units sold. Each unit contained one common share, one half of a warrant priced at $2.25 per share, and one half of a warrant priced at $2.75 per share. Both warrants are valid for a period of 24 months from the date of issuance.
The Brazilian based energy firm intends to use the proceeds from the financing to drill 4 wells and conduct three additional workovers at its Brazilian properties, while also enabling the company to participate in oncoming onshore oil and gas licensing rounds. Funding is also to be used for further geological and geophysical work, as well as general corporate purposes and the retirement of certain outstanding debt.
Notably, ACAM LP of the Channel Islands acquired 3.2 million units of the company under the current placement, which represents 21.8% ownership of the company on an undiluted basis. On a partially diluted basis, that ownership climbs to 30.29%. 579 Max Ltd also acquired shares, with their overall ownership stake sitting at 15.49% on an undiluted basis.
Petro-Victory Energy last traded at $2.10 on the TSX Venture.
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