CALGARY, ALBERTA – Savanna Energy Services Corp. (“Savanna”) (TSX:SVY) wishes to address certain matters with respect to Total Energy Services Inc.’s (“Total”) announcements that it has acquired over 50% of the outstanding common shares of Savanna pursuant to its offer to purchase all of the common shares (the “Savanna Shares”) of Savanna (the “Total Offer”).
The Total Offer currently expires at 12:00 p.m. on April 7, 2017. There is no certainty that the Total Offer will be further extended and Total has not provided any indication in that respect. If the Total Offer is not extended, any Savanna Shares not tendered to the Total Offer will remain outstanding. Total may take steps to acquire any Savanna Shares it does not acquire pursuant to the Total Offer pursuant to a compulsory acquisition or a subsequent acquisition transaction pursuant to applicable securities laws at consideration not less than that offered pursuant to the Total Offer. If Total chooses not to effect a compulsory acquisition or a subsequent acquisition transaction on such basis, Total may pursue other means of acquiring the remaining Savanna Shares.
There can be no assurance that Total will seek to acquire the remaining Savanna Shares not acquired pursuant to the Total Offer at a price equal to or greater than the consideration offered pursuant to the Total Offer. Shareholders of Savanna should be aware that any purchases of such Savanna Shares by Total could be at a price less than the price to be paid for the Savanna Shares under the Total Offer and could be for cash or securities or other consideration. Alternatively, Total may decide not to pursue completion of the privatization of Savanna and maintain its holdings of Savanna Shares or sell or otherwise dispose of any or all the Savanna Shares acquired pursuant to the Total Offer. These transactions may be completed on terms and at prices then determined by Total, which may vary from the terms and the price paid for the Savanna Shares under the Total Offer. Savanna shareholders are encouraged to consult with their legal and financial advisors to fully understand the ramifications of the various outcomes that could arise depending on any actions that Total may, or may not, undertake.
Savanna also announces that effective today, Mr. Dwayne LaMontagne has resigned as Executive Vice President and Chief Financial Officer of Savanna. Mr. Rick Torriero, the Vice President, Finance of Savanna, will assume the chief financial officer duties in the interim.
Savanna is a leading contract drilling and oilfield services company operating in North America and Australia providing a broad range of drilling, well servicing and related services with a focus on fit for purpose technologies and industry-leading Aboriginal relationships.
This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. The use of any of the words “expect”, “anticipate”, “continue”, “estimate”, “may”, “will”, “project”, “should”, “believe”, “plans”, “intends” and similar expressions are intended to identify forward-looking information or statements. More particularly and without limitation, this press release contains forward-looking statements and information relating to the potential acquisition or disposition of common shares of Savanna by Total. These forward-looking statements and information are based on information contained in Total’s public disclosure with respect to the Total Offer. Undue reliance should not be placed on the forward-looking statements and information as Savanna cannot give any assurance that they will prove to be correct. Since forward-looking statements and information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, Total acquiring the remainder of the Savanna common shares at a price less than that offered pursuant to the Total Offer.
Readers are cautioned that the foregoing list of risks and uncertainties is not exhaustive. Other risk factors that could affect Savanna’s operations or financial results are included in Savanna’s annual information form and may be accessed through the SEDAR website (www.sedar.com). The forward-looking statements and information contained in this press release are made as of the date hereof and Savanna does not undertake any obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
Source: Savanna Energy Services Corp.