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CALGARY, Sept. 11, 2018 /CNW/ - AKITA Drilling Ltd.
(TSX:AKT.A; TSX:AKT.B) and Xtreme Drilling Corp. (TSX:XDC) are
pleased to announce that they have completed the previously
announced plan of arrangement (the "Arrangement") under the
Business Corporations Act (Alberta) pursuant to which AKITA acquired all
of the issued and outstanding common shares of Xtreme (the
Pursuant to the Arrangement, AKITA issued 21,662,530 Class A
Non-Voting Shares of AKITA and $45,000,000 in cash in consideration for the
Xtreme Shares. The cash consideration was financed from AKITA's
cash balances and new credit facility of $125 million which was entered into by AKITA with
ATB Financial concurrently with the completion of the
As of the date of this press release, there is a total of
37,954,407 Class A Non-Voting Shares of AKITA issued and
Douglas Dafoe, the Chairman of
Xtreme, was appointed to the AKITA board of directors upon closing
of the Arrangement.
All amounts are stated in Canadian dollars unless otherwise
This press release contains certain forward-looking information
(collectively referred to herein as "forward-looking statements")
within the meaning of applicable Canadian securities laws.
Forward-looking statements are often, but not always, identified by
the use of words such as "anticipate", "believe", "plan",
"potential", "intend", "focus", "estimate", "expect", "may",
"will", "could", "should", or similar words suggesting future
The forward-looking statements contained in this document are
based on certain key expectations and assumptions made by AKITA and
Xtreme relating to prevailing commodity prices, the demand for
drilling rigs and other oilfield services and the continued
availability of capital and skilled personnel. Although AKITA and
Xtreme consider these assumptions to be reasonable based on
information currently available, undue reliance should not be
placed on the forward-looking statements because AKITA and Xtreme
can give no assurance that they may prove to be correct.
By their very nature, forward-looking statements are subject to
certain risks and uncertainties (both general and specific) that
could cause actual events or outcomes to differ materially from
those anticipated or implied by such forward-looking statements.
The forward-looking statements contained in this press release are
made as of the date hereof and AKITA and Xtreme do not undertake
any obligation to update publicly or to revise any of the included
forward-looking statements, except as required by applicable law.
The forward-looking statements contained herein are expressly
qualified by this cautionary statement.
SOURCE AKITA Drilling Ltd.