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St. Albert, Alberta--(Newsfile Corp. - December 12, 2024) - Enterprise Group, Inc. (TSX: E) (OTCQB: ETOLF) (the "Company" or "Enterprise Group"), a consolidator of services to the energy sector that is focused primarily on specialized equipment rental, is pleased to announce it has closed its previously announced bought deal offering pursuant to a press release dated November 27, 2024. The Underwriters (as defined below) elected to exercise the over-allotment option in full, resulting in an aggregate of 15,131,585 common shares of the Company (the "Common Shares") being issued at a price of $1.90 per Common Share for total gross proceeds of approximately $28.8 million (the "Offering"). The Common Shares issued pursuant to the Offering will trade on the Toronto Stock Exchange under the ticker symbol E.
The Company intends to use the net proceeds from the Offering for working capital and general corporate purposes. This funding initiative will support the Company's continued expansion plans, as it seeks to capitalize on the robust growth opportunities in the burgeoning natural gas turbine power sector, while reinforcing its position as the leading player in the space. With robust activity fuelling the current quarter and a strong pipeline of projects supporting future expansion, the Company believes it is well-positioned to continue delivering strong results going forward underscoring its commitment to creating shareholder value while driving sustained, long-term growth. The underwriting syndicate was co-led by Canaccord Genuity Corp. and Raymond James Ltd. and included Acumen Capital Finance Partners Limited (collectively, the "Underwriters").
In connection with the Offering, the directors and officers of the Company entered into lock-up agreements pursuant to which they agreed not to sell or transfer any Common Shares for a period of 90 days from closing of the Offering. The Offering was completed in Canada by way of a final short form prospectus dated December 5, 2024 and filed with the securities regulatory authorities in each of the provinces of Canada, other than Québec, copies of which are available under the Company's profile on the System for Electronic Data Analysis and Retrieval + ("SEDAR+") at www.sedarplus.ca.
This press release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), and such securities may not be offered or sold within the United States or to, or for the account or benefit of, U.S. Persons (as defined in the U.S. Securities Act), absent registration under U.S. federal and state securities laws or an applicable exemption from such U.S. registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.