Regulatory Approval Received for Acquisition of Caracal by Glencore

Regulatory Approval Received for Acquisition of Caracal by Glencore

Caracal Energy Inc. (“Caracal” or the “Company”) (LSE:CRCL) announced that Glencore plc (“Glencore”) has received Investment Canada Act approval in connection with the plan of arrangement to effect the acquisition of all the issued and outstanding common shares of Caracal by a wholly owned subsidiary of Glencore (the “Arrangement”).
Investment Canada Act approval was the final outstanding regulatory approval with respect to the Arrangement. Accordingly, Caracal now expects the effective date of the Arrangement to be July 8, 2014 (the “Effective Date”). On the Effective Date, Glencore will release the funds to be subsequently paid to shareholders and holders of depositary interests (“DI Holders”) as described under the heading “Information for shareholders and DI Holders” below.
Information for shareholders and DI Holders
Shareholders will be entitled to receive payment of £5.50 per common share in cash (the “Consideration”) following the Effective Date. Shareholders will receive U.S. dollars unless an election is made on a Letter of Transmittal to receive payment in Canadian dollars or pounds sterling.
Registered shareholders are required to submit a Letter of Transmittal to Computershare Trust Company of Canada, together with the certificate(s) representing common shares of Caracal and all other required documents. For a replacement Letter of Transmittal, contact Computershare Trust Company of Canada toll free at 1-800-564-6253. Registered shareholders must make their currency election in the Letter of Transmittal by no later than 5:00 p.m.(Toronto Time) on July 9, 2014. Non-registered shareholders should contact their broker, trustee, financial institution, custodian, nominee or other intermediary to confirm matters relating to payment of the Consideration, or if they wish to elect to receive Canadian dollars or pounds sterling.
DI Holders can elect to receive payment in U.S. dollars. If no election is made, DI Holders will be deemed to have elected to receive payment in pounds sterling. DI Holders must submit their currency election through the CREST system by no later than 5:00 p.m. (London Time) on July 9, 2014.
The exchange rate that will be used to convert the Consideration from pounds sterling into Canadian or U.S. dollars, as the case may be, will be the prevailing market rate on the date the funds are converted, which is expected to be on or about July 9, 2014. The risk of any fluctuations in such rates,including risks relating to the particular date and time at which funds are converted, will be solely borne by the shareholder or DI Holder, as the case may be.
SOURCE: Caracal Energy Inc.

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