CALGARY, ALBERTA--(Marketwired - Dec 12, 2014) - Toro Oil & Gas Ltd. (the "Company" or "Toro") announces that its previously disclosed rights offering expired on Monday, December 8, 2014. Shareholders were entitled to one right per common share with six rights exchangeable into one Toro common share at an exercise price of $0.03375 per share. Subscribers to Toro's $25 million recapitalization financing were prohibited from participating in the rights offering. 81.68% of total possible rights were exchanged into Toro common shares resulting in gross proceeds of $463,715 to Toro. On a post-consolidated common share basis, Toro's common share total increased by 549,588.
Toro also announces that it has effected a share consolidation on a basis of one new Toro common share for every 25 existing common shares. Inclusive of shares issued pursuant to the rights offering described above, Toro's currently issued and outstanding common shares total 34,215,959. Assuming the closing of the previously announced acquisition of oil and gas properties from an arm's length party, total outstanding basic common shares will be 35,407,854 as a result of the issuance of 1,191,895 Toro common shares pursuant to such acquisition.
New consolidated Toro common shares will commence trading on the TSX Venture Exchange on Monday, December 15, 2014 under the existing stock symbol of TOO and new CUSIP # 891099202. Shareholders of record will receive a letter of transmittal which contains detailed instructions regarding the procedures to surrender existing common share certificate(s) representing pre-consolidation common shares to the transfer agent in exchange for certificate(s) representing post-consolidation common shares. Shareholders should not destroy any common share certificate(s) and should not submit any common share certificate(s) until requested to do so.
About Toro Oil & Gas Ltd.
Toro is a junior oil and gas energy company listed on the TSX Venture Exchange. Toro recently announced the acquisition of approximately 400 boe/d from an arm's length party for $25 million in consideration. Closing of this acquisition is anticipated to be on or before December 19, 2014 and is subject to customary conditions. Toro's business plan focuses on light oil development and exploitation of known or existing reservoirs through the use of technology advancements. The recent proposed acquisition announcement solidifies a core area for the Company and it intends to develop other core areas in the western Canadian sedimentary basin as opportunities arise.