C05562-2020 |
Title of Each Class | Number of Shares of Common Stock Outstanding and Amount of Debt Outstanding | |
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Common Shares | 1,960,000,000 |
The Exchange does not warrant and holds no responsibility for the veracity of the facts and representations contained in all corporate disclosures, including financial reports. All data contained herein are prepared and submitted by the disclosing party to the Exchange, and are disseminated solely for purposes of information. Any questions on the data contained herein should be addressed directly to the Corporate Information Officer of the disclosing party.
Subject of the Disclosure |
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Increase of Shareholdings in FEC Resources, Inc. |
Background/Description of the Disclosure |
PXP Energy Corporation (“PXP” or “the Company”) wishes to announce that it has increased its direct shareholding in FEC Resources Inc. (“FEC”) from 54.99% to 78.39%. This increases PXP’s total economic interest in Forum Energy Limited (“FEL”) from 76.07% to 77.66%. The additional interest was acquired through a subscription to 449,999,986 new ordinary shares of FEC through a stock rights offering. The new shares were issued at approximately US$0.00225 per share for a total consideration of US$1,012,499.97. |
Date of Approval by Board of Directors |
July 30, 2020 |
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Rationale for the transaction including the benefits which are expected to be accrued to the Issuer as a result of the transaction |
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Increase its direct shareholding in FEC Resources Inc. (“FEC”) from 54.99% to 78.39%. |
Date | August 3, 2020 |
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Manner |
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Through Participation in FEC's Stock Rights Offering |
Description of the company to be acquired or sold |
FEC Resources Inc., is incorporated under the laws of Alberta, Canada. It primarily acts as an investment holding company. Its principal asset is a 6.8% stake in FEL. |
Number of shares to be acquired or disposed | 449,999,986 |
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Percentage to the total outstanding shares of the company subject of the transaction | from 54.99% to 78.39%. |
Price per share | $0.00225 |
Nature and amount of consideration given or received |
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US$1,012,499.97 |
Principle followed in determining the amount of consideration |
Based on the price of FEC shares in the stock rights offering of $0.00225/share. |
Terms of payment |
Cash |
Conditions precedent to closing of the transaction, if any |
None |
Any other salient terms |
None |
Name | Nature of any material relationship with the Issuer, their directors/ officers, or any of their affiliates | |
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n/a | n/a |
Effect(s) on the business, financial condition and operations of the Issuer, if any |
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FEC intends to use the proceeds from the Rights Offering for general working capital purposes primarily the payment of administrative expenses and to provide the Company with funds for investment opportunities including participation, in any fund raising of Forum Energy Limited in order to maintain its percentage ownership interest in that company. |
Other Relevant Information |
Amended to edit the exact number of shares issued by issuer and exact amount up to last centavo. |
Name | Mark Raymond Rilles |
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Designation | Finance Controller |