Valener announces a $22 million subscription of units of Gaz Métro under a private placement
MONTREAL, Sept. 28, 2012 /CNW Telbec/ - Valener Inc. ("Valener") is pleased to announce that it has completed a subscription of units of Gaz Métro Limited Partnership ("Gaz Métro") for approximately $22 million by subscribing under a private placement of Gaz Métro for 1,450,203 units of Gaz Métro at a price of $15.00 per unit. The subscription was made by Valener, pro rata based on its share of units outstanding, as part of an equity offering of $75 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. The proceeds of the offering will be used to fund a portion of the development of Green Mountain Power Corporation's Kingdom Community Wind project in Vermont and for 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 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
With almost $5 billion in assets as at June 30, 2012, Gaz Métro is a major energy distributor. It is the principal natural gas distributor in Quebec, where its more than 10,000-km underground distribution network serves some 300 municipalities. Gaz Métro is also present in Vermont, where it is active in the electricity distribution and natural gas markets. Gaz Métro is actively involved in the development of innovative energy projects such as the production of wind power, the use of natural gas as a fuel for transportation, and the promotion of biomethane. Gaz Métro is committed to the satisfaction of its over 180,000 customers in Quebec and 295,000 customers in Vermont, its Partners (GMi and Valener), its employees and the communities it serves. www.gazmetro.com
Overview of 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.
SOURCE VALENER INC.