Caza Oil & Gas set to go private

4th Apr 2016 12:09

(ShareCast News) - Canada-based Caza Oil & Gas called a special meeting of shareholders on Monday, to consider a proposal that would take the Canadian firm private.The AIM-traded company said the proposal was for Talara - the majority shareholder in Caza - to take the company private at a cash price of 0.0481 US cents (0.0338p) per share.Caza's board said the proposed transaction would consist of the consolidation of Caza's outstanding common shares on the basis of one post-consolidation common share for 560 million pre-consolidation common shares.Based on the consolidation terms, all shares held by parties other than Talara would become fractional shares that would be acquired by the company by being rounded down and cancelled.The firm's board said the price was 12% higher than the upper end of the fair market value range determined in an independent valuation.Caza said the consolidation needed to be approved by no less than two thirds of the votes cast by shareholders at the meeting, and as Talara owned 95% of the company already and intended to vote in favour of the consolidation, it was essentially a done deal.