Finance & Investing | Capital Markets

Perisson Announces $40 Million Private Placement

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Perisson Petroleum Corporation announces that after several months of discussions and due diligence, it has entered into a long term relationship with a new strategic investor group.

The new strategic investor group is proposing to undertake an initial non-brokered private placement for gross proceeds of up to USD$40 million at a subscription price of $0.40 per share, for the purposes of financing an aggressive oil and gas asset acquisition strategy by the Company. Accretive strategic acquisitions are anticipated to occur starting in the first half of 2016. 

The Financing is a planned first step by the Strategic Investor, whose intention is to fund approximately USD$150 million of high-quality acquisitions in Canada, based on the recommendations of Perisson's management team, over the next 18 months.

The Company strategic intent is focused on expanding its operations into North America where low-cost, producing, cash-generating assets are readily available. Core to the strategy will be focusing on assets that are cash-generative at present oil market pricing, or higher, and have significant running room for future growth. Management believes that Canada represents a stable, efficient producing environment with a multitude of opportunities available in today's depressed market. As such, the Company is expected to become a low cost producing and cash-generating entity with a stable Canadian production base, while a maintaining large, long-term, exploratory asset base in South America.