(Reuters) - Eagle Energy Trust EGL_u.TO units fell 5 percent after it said it will raise C$85.0 million ($86.04 million) through a discounted bought deal to fund purchase of some light oil assets in the Permian Basin in Texas.
Eagle Energy said on Monday it will pay $113.4 million for a 92.5 percent stake in the properties that are estimated to contain proved and probable reserves of about 10.2 million barrels of oil equivalent (boe).
The company said it would sell 7.7 million units at C$11.0 per unit — a 5 percent discount to the stock’s Friday closing price of C$11.55 — to fund the acquisition.
Eagle Energy’s units fell 5 percent to C$11.0 in early trade on Tuesday morning on the Toronto Stock Exchange.
Reporting by Abhiram Nandakumar in Bangalore; Editing by Sriraj Kalluvila