Sustainable Production Energy Trust completes C$80 million initial public offering
On October 17, 2005, Sustainable Production Energy Trust completed its initial public offering of 8 million trust units for gross proceeds of C$80 million. Of the total issuance, 7,739,648 trust units were issued for cash proceeds, while the remaining 260,352 trust units were issued in exchange for units of selected Canadian oil and gas trusts, and shares of oil and gas corporations, pursuant to an exchange option provided to prospective purchasers. The trust units of Sustainable Production were concurrently listed on the TSX.
On November 3, 2005, Sustainable Production issued an additional 440,000 trust units for gross proceeds of C$4.4 million pursuant to the over-allotment option provided to the syndicate of agents.
Certain of the units of Canadian oil and gas trusts and shares of oil and gas corporations tendered to the offering pursuant to the exchange option, form a portion of Sustainable Production's current portfolio, while the net cash proceeds of the offering have been subsequently used by Sustainable Production to acquire further portfolio securities in accordance with its investment objectives and investment strategy, and subject to its investment restrictions, to complement the existing portfolio.
The offering was made through a syndicate of agents co-led by CIBC World Markets, BMO Nesbitt Burns, RBC Dominion Securities and TD Securities, and included National Bank Financial, Scotia Capital, Desjardins Securities, HSBC Securities (Canada), Canaccord Capital, Dundee Securities, Blackmont Capital, Raymond James, Research Capital, Wellington West Capital, Bieber Securities and McFarlane Gordon.