Bentley Oil & Gas, a privately held company, has an agreement that will give it control of capital pool company, Exito Energy Inc. Exito will issue shares to acquire Bentley in the reverse takeover and due to the number of Exito shares to be issued, a majority of the public stock will be held by Bentley’s shareholders.
Bentley holds a 100% working interest in19,600acres in two core oil and gas properties located in southeastern and central Alberta, Canada and has working interests in other properties. Bentley’s production capacity is currently the equivalent of approximately 31 barrels of oil per day, 58% of which is light crude.
Under the agreement, Bentley must raise at least CAD5 million in new funding prior to the takeover transaction and Exito shares will be consolidated on a two-for-1 basis prior to the transaction, resulting in five million outstanding and 675,000 share purchase warrant will also be outstanding.
Approximately 50 Bentley shareholders will receive a total of 99.2million Exito shares at an exchange ratio of five shares per Bentley share. About 88% of Exito’s equity will be owned by Bentley shareholders.