Vermilion Energy Reduces Coelacanth Stake Through Significant Equity Disposal

Vermilion Energy Inc. (VET, VET.TO) has materially reduced its investment position in Coelacanth Energy Inc., divesting 26 million common shares via private negotiations. The transaction, executed at $0.76 per share, generated gross proceeds of $19.76 million and triggered mandatory disclosure requirements due to the stake exceeding 2% of Coelacanth’s outstanding common derivatives and equity structure.

Shift in Ownership Structure

The divestment marks a notable adjustment to Vermilion’s portfolio exposure. Prior to the share disposal, the company maintained 80.18 million common shares, equating to a 15.0% ownership stake in Coelacanth. Following completion of the transaction, Vermilion’s holding was pared back to 54.18 million shares, reflecting a reduced equity position of approximately 10.2% in the company’s outstanding shares.

Restricted Selling Framework

Going forward, transaction amendments now impose constraints on Vermilion’s flexibility. The revised agreement stipulates that the company cannot dispose of more than 4 million remaining shares without prior consent from Coelacanth. This covenant effectively locks in the current stake level, preventing further dilution of common derivatives interests without board approval from the investee company.

Disclaimer: The views expressed represent analytical assessment and do not reflect official positions of Nasdaq, Inc.