04:57 PM EDT, 10/08/2025 (MT Newswires) -- Tourmaline Oil ( TRMLF ) after trade Wednesday said it is selling underwriters eight-million shares of Topaz Energy ( TPZEF ) in a bought-deal secondary offering to raise $200 million.

In a joint announcement with Topaz, the Western Canadian natural-gas producer said the Topaz shares are being sold at $25.10 each. It also granted underwriters a 15% over-allotment option.

Before the deal, Tourmaline owned roughly 21.3% of Topaz. After it sells those shares, it will retain about 16.1% or 15.3% if the overallotment is fully used, according to the statement.

Proceeds from the sale will help fund Tourmaline's two-phase project in the Northeast British Columbia Montney region. Topaz, an oil and gas royalty and infrastructure will receive none of the proceeds.

The deal is expected to close around Oct. 28, contingent on regulatory approvals, including the Toronto Stock Exchange's approval.

Tourmaline shares closed down $0.09 to $62.06 on the Toronto Stock Exchange, while Topaz was down $0.30 to $26.18.