CALGARY, ALBERTA--(Marketwired - Aug. 31, 2016) - Mr. Lyle Wood announces that, on August 31, 2016, Mr. Wood, acting jointly with certain associates (as such term is defined in NI 62-104 - Take-Over Bids and Issuer Bids) (collectively, the "Acquiror"), acquired beneficial ownership of and exercises control over 9,366,997 common shares ("Common Shares") of Strad Energy Services Ltd. ("Strad"). The Common Shares were issued to the Acquiror pursuant to the acquisition (the "Acquisition"), directly or indirectly, of all the issued and outstanding shares of Redneck Oilfield Services Ltd. ("Redneck") and Raptor Oilfield Services Ltd. ("Raptor" and together with Redneck, the "Redneck Entities") by Strad in consideration for 11,098,599 Common Shares.
Immediately prior to the Acquisition, the Acquiror did not own, directly or indirectly, or exercise control or direction over any of the issued and outstanding Common Shares of Strad.
As a result of the Acquisition, the Acquiror beneficially owns and exercises control over an aggregate of 9,366,997 Common Shares, representing approximately 19.4% of the issued and outstanding Common Shares of Strad. The value of the Common Shares received by the Acquiror is $14,518,845.35 based on the closing price of the Common Shares as at August 30, 2016, being $1.55.
Pursuant to the terms of share purchase agreements entered into in respect of the Acquisition among Strad, each of the Redneck Entities and their shareholders, the aggregate purchase price for the Acquisition was approximately $17,202,828.45, which was paid through the issuance of 11,098,599 Common Shares based on the closing price of the Common shares as at August 30, 2016.
In connection with the Acquisition, the Acquiror was appointed to the Board of Directors of Strad. The transactions described herein were entered into by the Acquiror for investment purposes only. The Acquiror may, from time to time dispose of, or acquire, ownership of or control or direction over additional securities of Strad.
FOR FURTHER INFORMATION OR TO OBTAIN A COPY OF THE EARLY WARNING REPORT FILED IN CONNECTION WITH THIS MATTER, PLEASE CONTACT MR. LYLE WOOD.