Saskatchewan Wheat Pool has competed its $150 million rights offering, and will use the money to pay down debt and help finance normal operations.
The company received net proceeds of about $142.3 million and will use $100 million to pay down its current $250 million in term debt.
Under the offering, shareholders of record as of April 22 got one “right” for each common share held. The right entitled the holder to buy 1.33 common shares at a price of $3.21.
About 46.76 million shares were available and 98 percent of the rights were exercised, leaving only about one million shares available to holders who wanted additional shares.
The offering was substantially oversubscribed. Computershare Investor Services, the pool’s transfer agent, received more than $272 million from Canadian shareholders who exercised their rights and opted to buy additional shares. Computershare this week was issuing share certificates along with refunds for the subscriptions that could not be filled.
Unclaimed rights of shareholders in non-participating jurisdictions were sold on the Toronto Stock Exchange over a period of days at an average price of about $2.65 per right.
