On August 20, 2020, Reconnaissance Energy Africa Ltd., an oil and gas issuer, completed a public offering of units for gross proceeds of approximately $23 million, including the partial exercise of the agent’s over-allotment option.
Pursuant to the offering, Haywood Securities Inc., as sole agent, placed 32,855,409 units at a price of $0.70 per unit. Each unit consisted of one common share and one common share purchase warrant of ReconAfrica. Each warrant is exercisable to acquire one common share at a price of $1.00 until August 20, 2025, subject to acceleration at the option of ReconAfrica in the event the common shares trade above $3.00 for 20 consecutive trading days. The warrants will trade on the TSX Venture Exchange under the symbol “RECO.WT”.
Cassels acted for ReconAfrica with a deal team that included Jennifer Traub and Jonathan Chandler (Securities) and Chris Norton and Tera Li Parizeau (Tax).