Valener announces a $14.5 million subscription of units of Gaz Métro under a private placement
MONTREAL, Sept. 30, 2013 /CNW Telbec/ - Valener Inc. ("Valener") (TSX: VNR) is pleased to announce that it has completed a subscription of units of Gaz Métro Limited Partnership ("Gaz Métro") for approximately $14.5 million by subscribing under a private placement of Gaz Métro for 906,325 units of Gaz Métro at a price of $16.00 per unit. The subscription was made by Valener, pro rata based on its share of units outstanding, as part of an equity offering of $50 million by Gaz Métro by way of a private placement under which Gaz Métro inc. ("GMi") also subscribed for its pro rata share of units. Gaz Métro will use the proceeds of the offering to the re-establish its capital structure and for its general corporate purposes.
Overview of Valener
Valener owns an economic interest of approximately 29% in Gaz Métro. Valener therefore has a stake in the energy industry and benefits from Gaz Métro's diversified profile, both in terms of geography and business segment. Valener also owns a 24.5% indirect interest in the wind power projects jointly developed with Gaz Métro and Boralex Inc. on the private lands of Séminaire de Québec. Valener's common shares and preferred shares are listed on the Toronto Stock Exchange under the "VNR" trading symbol for common shares and under the "VNR.PR.A" symbol for Series A preferred shares. www.valener.com
Overview of Gaz Métro and GMi
GMi mainly holds an economic interest of approximately 71% in Gaz Métro, for which it acts as the General Partner and a financing vehicle.
With more than $5 billion in assets, Gaz Métro is a leading energy provider. It is the largest natural gas distribution company in Quebec, where its 10,000 km underground network of pipelines serves 300 municipalities and more than 185,000 customers. Gaz Métro is also present in Vermont, producing electricity and distributing electricity and natural gas to cater to the needs to some 300,000 customers. Gaz Métro is actively involved in the development of innovative, sustainability-oriented energy projects such as the production of wind power, the use of natural gas as a transportation fuel and the development of biomethane as a renewable energy source. Gaz Métro is committed to ensuring the satisfaction of its customers, providing support to businesses, local organizations, families and communities, and meeting the needs of its partners (GMi and Valener) and employees. www.gazmetro.com
SOURCE Valener Inc.