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ST. ALBERT, AB, March 4, 2014 /CNW/ - Enterprise Group, Inc. ("Enterprise," or the "Company") (TSX:E) is pleased to announce that it has agreed to increase the size of its previously announced bought deal equity financing through a syndicate of underwriters led by Canaccord Genuity Corp. and GMP Securities L.P. (collectively the "Underwriters"). Under the new terms of the financing, the Underwriters have agreed to purchase, on a bought deal basis, 24,000,000 common shares of Enterprise (the "Common Shares") at a price of $1.00 per Common Share, for aggregate gross proceeds of $24,000,000 (the "Offering").

In addition, the Underwriters have been granted an option (the "Over-Allotment Option") to purchase up to an additional 3,600,000 Common Shares to cover over-allotments, if any, for gross proceeds of $3,600,000. If the Over-Allotment Option is fully exercised, gross proceeds from the Offering will be $27,600,000. The Over-Allotment Option is exercisable in whole or in part for a period of 30 days following closing of the Offering.

Enterprise will use the net proceeds from the Offering to expand the Company's capital program, as well as for general corporate purposes.

Closing of the Offering is expected to occur on or about March 25, 2014 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the Toronto Stock Exchange.

The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About Enterprise Group, Inc.

Enterprise Group, Inc. is a consolidator of construction services companies operating in the energy, utility and transportation infrastructure industries. The Company's focus is primarily construction services and specialized equipment rental. The Company's strategy is to acquire complementary service companies in Western Canada, consolidating capital, management and human resources to support continued growth. Enterprise became a Western Canadian leader in flameless heat technology in September 2012 with its acquisition of Artic Therm International Ltd., a leader in underground infrastructure construction in June 2013 with the acquisition of Calgary Tunnelling & Horizontal Augering Ltd., and a leader in oilfield service rentals in January 2014 with the acquisition of Hart Oilfield Rentals Ltd.

Forward-Looking Statements

Certain statements contained in this news release constitute forward-looking information. These statements relate to future events or the Company's future performance. The use of any of the words "could", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company's current belief or assumptions as to the outcome and timing of such future events. In particular, forward-looking statements contained in this press release include, but are not limited to: the expected approvals for, and the closing of, the Offering, and the use of proceeds from the Offering. These forward-looking statements are based on assumptions and are subject to numerous risks and uncertainties, certain of which are beyond the Company's control, including the impact of general economic conditions, industry conditions, volatility of commodity prices, competition, stock market volatility and the ability to access sufficient capital. Actual future results may differ materially. The Company's annual information form for the year ended December 31, 2012 and other documents filed with securities regulatory authorities (accessible through the SEDAR website www.sedar.com) describe the risks, material assumptions and other factors that could influence actual results and which are incorporated herein by reference. The Company disclaims any intention or obligation to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as may be expressly required by applicable securities laws.

SOURCE Enterprise Group, Inc.

Copyright 2014 Canada NewsWire

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