Enterprise Group, Inc.

Enterprise Group, Inc.

June 24, 2015 17:44 ET

Enterprise Group, Inc. Announces 3:1 Consolidation of Shares

ST. ALBERT, ALBERTA--(Marketwired - June 24, 2015) - Enterprise Group, Inc. ("Enterprise," or the "Company") (TSX:E) announces that the Company is proceeding with a consolidation of its outstanding common shares on the basis of one (1) post-consolidation common share for every three (3) pre-consolidation common shares held (the "Consolidation"). The Consolidation was approved at the annual and special meeting of shareholders held on May 28, 2015.

Management believes that this Consolidation will increase the marketability and the ease of investing in Enterprise, making the Company's equity more attractive and accessible to a broader range of investors, including both institutional investors and investment brokers. Certain investors may be subject to certain share price related restrictions and transaction costs that should be alleviated by the Consolidation. The Consolidation does not change a shareholder's proportionate ownership interest in the Corporation. After giving effect to the Consolidation, the Company will have a total of approximately 49,468,876 common shares outstanding.

The Consolidation has been approved by the Toronto Stock Exchange ("TSX") and the consolidated common shares of the Company will commence trading on the TSX within three to four business days. The new CUSIP number for Enterprise's post-consolidated common shares is 29373A303 and the new ISIN number is CA29373A3038.

A letter of transmittal with respect to the Consolidation has been mailed to registered shareholders of the Company. All registered shareholders with physical certificates will be required to send their respective certificates representing pre-consolidated common shares along with a completed letter of transmittal to Enterprise's transfer agent, Valiant Trust Company ("Valiant"), in accordance with the instructions provided in the letter of transmittal. Additional copies of the letter of transmittal can be obtained through Valiant (Corporate Actions 1-866-313-1872). All shareholders who submit a duly completed letter of transmittal along with their respective pre-consolidated common share certificate(s) to Valiant, will receive a post-consolidated share certificate.

Fractional post-consolidation common shares will not be issued to shareholders. Where the Consolidation would otherwise result in a shareholder being entitled to a fractional common share, the number of post-consolidation common shares issued to such shareholder shall be rounded up to the next greater whole number of common shares if the fractional entitlement is equal to or greater than 0.5 and shall be rounded down to the next lesser whole number of common shares if the fractional entitlement is less than 0.5. In calculating such fractional interests, all pre-consolidation common shares registered in the name of, or beneficially held by, the respective holder or its nominee shall be aggregated.

Information for Warrant Holders

Listed warrants ("Listed Warrants") of the Company trading on the TSX under the symbol "E.WT" (expiring on December 20, 2015) will continue to be traded on the TSX under such symbol following the Consolidation of its common shares. It is important to note that the Listed Warrants are not being consolidated. Following the Consolidation, each three (3) Listed Warrants will entitle the holder to purchase one post-consolidated common share of the Company at the adjusted total exercise price of $3.00. In accordance with the terms of the Warrant Indenture governing the Listed Warrants, notice of the Consolidation has been sent to all holders of these warrants.

About Enterprise Group, Inc.

Enterprise Group, Inc. is a consolidator of construction services companies operating in the energy, utility and transportation infrastructure industries. The Company's focus is primarily construction services and specialized equipment rental. The Company's strategy is to acquire complementary service companies in Western Canada, consolidating capital, management, and human resources to support continued growth. Enterprise acquired Artic Therm International Ltd. in September 2012, Calgary Tunnelling & Horizontal Augering Ltd. in June 2013, Hart Oilfield Rentals Ltd. in January 2014, and Westar Oilfield Rentals Inc. in October 2014. More information is available at the Company's website, www.enterprisegrp.ca.

Contact Information

  • Candice Williams or Nathan Sellyn
    Investor Relations

    Leonard D. Jaroszuk
    President & CEO

    Desmond O'Kell
    Senior Vice President