EVEREADY INCOME FUND
TSX : EIS.UN

EVEREADY INCOME FUND

June 05, 2007 08:57 ET

Eveready Income Fund Closes Bought Deal Equity Financing

EDMONTON, ALBERTA--(Marketwire - June 5, 2007) -

THIS PRESS RELEASE IS NOT TO BE DISTRIBUTED TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW.

Eveready Income Fund (TSX:EIS.UN)("Eveready" or the "Fund") announces that it has closed its previously announced bought deal equity financing of 8,130,900 units of the Fund ("Units") at a price of $5.35 per Unit (the "Issue Price") for gross proceeds of $43,500,315. The Units were issued pursuant to Eveready's final short form prospectus dated May 28, 2007. The syndicate of underwriters was led by Blackmont Capital Inc. and included Cormark Securities Inc., CIBC World Markets Inc., TD Securities Inc., National Bank Financial Inc. and Paradigm Capital Inc. The Fund has also granted to the underwriters an option, exercisable for 30 days following closing, to purchase up to an additional 1,219,635 Units at the Issue Price. Eveready plans to use the net proceeds of this offering to reduce its outstanding debt.

Eveready is a growth oriented income fund that provides industrial and oilfield services; health, safety and environmental services; and oilfield equipment rental services to the energy, resource, and manufacturing sectors. The Units of Eveready trade on the Toronto Stock Exchange under the trading symbol "EIS.UN".

This press release contains forward-looking statements subject to various risk factors and uncertainties, which may cause the actual results, performances or achievements of Eveready to be materially different from any future results, performances or achievements expressed or implied by such forward-looking statements. Such factors include, but are not limited to, fluctuations in the market for oil and gas and related products and services, political and economic conditions, the demand for services provided by Eveready, industry competition and Eveready's ability to attract and retain both customers and key personnel.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the 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 State in which such offer, solicitation or sale would be unlawful.

Contact Information

  • Eveready Income Fund
    Rod Marlin
    President & CEO
    (780) 451-6075
    (780) 451-2142 (FAX)
    or
    Eveready Income Fund
    Darren Stevenson
    CFO
    (780) 451-6075
    (780) 451-2142 (FAX)
    Website: www.evereadyincomefund.com