Caledonian Royalty Corp. completed its private placement new issue offering of 7.5% senior secured first lien notes due Aug. 31, 2016.
Caledonian received gross proceeds of $48 million. Scotiabank was sole placement agent.
The notes will be senior secured indebtedness of Caledonian, secured by first-priority liens on the collateral, paying interest on a monthly basis. Net proceeds will be used for repayment of indebtedness under its credit facilities and for general corporate purposes.
Caledonian Royalty Corp. is a private, Calgary-based oil and gas company focusing on the strategic acquisition of oil and gas royalties and non-operating working interests in Western Canada.