-Company Seeking Buyer or Merger Patner-
DALLAS, June 14, 2013 /PRNewswire/ - Gale Force Petroleum Inc. (TSXV: GFP) (OTCQX: GFPMF) (the "Company" or "Gale Force") today announced that it has engaged Cairn Merchant Partners as its financial advisor in order to assist the Company in evaluating and considering strategic alternatives with a view to enhancing shareholder value. Strategic alternatives to be considered by the Company include, but are not limited to, the sale of the Company or a business combination.
"Given Gale Force's attractive reserves base, cash-flow positive operations, potential for growth and public listing, our Board of Directors believes that the Company can attain greater value for shareholders through a strategic transaction," said Michael McLellan, Co-Chairman and CEO. "The rationale for a strategic transaction was most recently discussed in detail in the Company's Management Discussion & Analysis for the quarter ended March 31, 2013, but in short, we believe that a strategic transaction will unlock latent value currently going unrecognized by the market and, depending upon the nature of the transaction, could be accretive to shareholders through the realization of economies of scale and operational synergies."
The Company cautions, however, that there can be no assurance that its ongoing strategic review process will result in any transaction, or, if a transaction is realized, as to its terms or timing.
ABOUT GALE FORCE PETROLEUM INC. − www.GaleForcePetroleum.com
Gale Force Petroleum is a public corporation focused on acquiring and exploiting underdeveloped oil and gas reserves in mature basins, bringing operational expertise and capital to lower-risk, development-type projects. The Company currently owns producing oil and gas properties in Texas, Tennessee and West Virginia.
ABOUT CAIRN MERCHANT PARTNERS − www.CairnMP.com
Cairn Merchant Partners LP is a recently formed independent M&A advisory and merchant banking firm offering a full range of advisory services to public and private companies. Cairn's principals have significant experience advising management teams and boards of public companies through strategic alternative reviews.
Cautionary Statement Regarding Forward-Looking Statements
Certain statements in this press release contain forward-looking statements. All forward-looking statements are based on the Company's current expectations, estimates, projections, beliefs and assumptions based on information available at the time the statement was made and in light of the Company's experience and its perception of historical trends. Some of the forward-looking statements may be identified by words like "expected", "subject to", "will be" and similar expressions. In addition, all other statements that address expectations or projections about the future, including statements about potential future transactions, are forward-looking statements. Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties, some that are similar to other oil and gas companies and some that are unique to the Company, and the other risks described in the Company's continuous disclosure filings with securities regulators available under the Company's profile at www.sedar.com. The Company's actual results may differ materially from those expressed or implied by the Company's forward-looking statements and you are cautioned not to place undue reliance on them. The Company does not assume any obligation to update any forward-looking statements contained in this press release, except as required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE GALE FORCE PETROLEUM INC.