09:54 AM EDT, 06/18/2024 (MT Newswires) -- Advantage Energy ( AAVVF ) on Tuesday said it closed a bought-deal offering of subscription receipts and convertible debentures, raising $190 million to fund, in part, a $450-million purchase of oil and gas properties announced last week.

The Western Canadian oil and gas producer sold an underwriting syndicate 5.91-million subscription receipts priced at $11.00 each to raise $65 million. The receipts convert into shares when the asset purchase closes.

It raised a further $125 million from the sale to the syndicate of five year, 5.0% extendible convertible unsecured subordinated debentures priced at $1,000 each.

The syndicate was also granted an over-allotment option of 886,500 subscription receipts $18.75-million of the convertible debentures it can exercise over the next 30 day, should demand warrant.

Advantage last week agreed to acquire oil and gas assets in Western Canada's Charlie Lake and Montney fields, adding 14,100 barrels of oil equivalent per day of new production.

The company's shares were last seen up $0.01 to $10.18 on the Toronto Stock Exchange.

Price: 10.23, Change: +0.06, Percent Change: +0.59