CALGARY, June 27, 2018 /CNW/ - New West Energy Services Inc. (TSXV: NWE), an oil and gas and environmental services company focused on Western Canada, today announced the closing of a previously announced agreement between NWE and its primary capital and equipment financing partner, Nations Equipment Finance of Norwalk, Connecticut, whereby Nations has acquired an equity stake in NWE.
Pursuant to the terms of the agreement, NWE issued to Nations 11,753,676 common shares in lieu of the repayment of $1,175,367.62 owing by NWE to Nations, and NWE replaced certain three-year warrants to purchase 1,200,000 common shares previously held by Nations with five-year warrants on the same terms.
As a result of the acquisition of the common shares, Nations holds approximately 27 percent of NWE's common shares, and assuming the exercise of the warrants, Nations holds approximately 29 percent of NWE's outstanding common shares. NWE's largest shareholder and Lead Director, William A. Rand, holds beneficially approximately 31 percent of NWE's outstanding common shares.
Under the agreement, Nations will have observer status on the NWE board of directors for so long as it beneficially owns more than 15% of the outstanding common shares of NWE.
All securities issued to Nations are subject to a hold period of four months and one day.
About Nations Equipment Finance
Nations was founded in September 2010 by former GE Capital equipment finance professionals. Their team has collectively over 200 years of experience and has worked together for nearly 20 years. During that time, they have originated and managed multi-billion dollar portfolios of equipment lease and term loan investments in various industries and collateral types. Nations' head office is in Norwalk, Connecticut. For more information see www.nationsequipmentfinance.com.
About New West Energy Services
NWE is a recognized leader in Western Canada in comprehensive waste management and environmental services, including transportation and disposal, in the drilling, completions and production sectors of the oil and gas industry. NWE management and senior operations personnel have collectively over 100 years of experience in energy services and have worked together for over 20 years. The company operates through its main service centres in Grande Prairie and Medicine Hat, Alberta, and has its head office in Calgary, Alberta. For more information see www.newwestenergyservices.com.
Neither the 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 New West Energy Services Inc.
For further information: Gerry E. Kerkhoff, New West Energy Services Inc., President and Chief Executive Officer, Phone - 403.984.9798 or 1.888.977.2327 (BEAR), Fax - 403.984.9799, Email - [email protected]