Duyuru • Feb 24
Zeg Oil and Gas Ltd completed the acquisition of remaining 17.5% stake in Forza Petroleum Limited (TSX:FORZ). Zeg Oil and Gas Ltd entered into an arrangement agreement to acquire remaining 17.5% stake in Forza Petroleum Limited (TSX:FORZ) for CAD 18.4 million on December 10, 2023. Zeg Oil and Gas will acquire remaining stake at a purchase price of CAD 0.15 per Common Share in cash. Zeg Oil and their affiliates, together with joint actors, control, directly or indirectly, 500,431,626 Common Shares, representing approximately 82.5% of the issued and outstanding Common Shares.
Closing of the arrangement is subject to customary conditions, including, among others, receipt of court approvals; the approval of the Arrangement by a “majority of the minority” vote; exercised Dissent Rights. A special committee of independent directors was established by the Board of Directors of Forza. The Special Committee unanimously determined and recommended that the Arrangement is fair to the Minority Shareholders and is in the best interests of the Corporation and that the Arrangement Agreement be approved by the Board. A special meeting of securityholders of Forza Petroleum will be held on February 12, 2024 at 4:00 p.m. (Central European Time). The transaction is expected to close during the first quarter of 2024. Cormark Securities Inc. acted as fairness opinion provider to Special Committee of Forza and will be paid a fee of CAD 0.401475 million. Cormark Securities has engaged Stikeman Elliott LLP as legal counsel to support their mandate. Taisha Lewis and Krisztian Toth of Fasken Martineau DuMoulin LLP acted as legal advisors to Forza and the special committee has engaged Stewart McKelvey as legal counsel. Markus Viirland and Richard Turner of Blake, Cassels & Graydon LLP is legal counsels to Zeg Oil. Computershare Trust Company of Canada acted as transfer agent to Forza.
Zeg Oil and Gas Ltd completed the acquisition of remaining 17.5% stake in Forza Petroleum Limited (TSX:FORZ) on February 22, 2024. Zeg Oil acquired remaining 17.5% stake in Forza Petroleum for a total consideration of CAD 15.92 million. Forza Petroleum has applied to have the Common Shares delisted from the Toronto Stock Exchange and to cease to be a reporting issuer under Canadian securities laws. Duyuru • Dec 12
Zeg Oil and Gas Ltd entered into an arrangement agreement to acquire remaining 17.5% stake in Forza Petroleum Limited (TSX:FORZ) for CAD 18.4 million. Zeg Oil and Gas Ltd entered into an arrangement agreement to acquire remaining 17.5% stake in Forza Petroleum Limited (TSX:FORZ) for CAD 18.4 million on December 10, 2023. Zeg Oil and Gas will acquire remaining stake at a purchase price of CAD 0.15 per Common Share in cash. Zeg Oil and their affiliates, together with joint actors, control, directly or indirectly, 500,431,626 Common Shares, representing approximately 82.5% of the issued and outstanding Common Shares.
Closing of the arrangement is subject to customary conditions, including, among others, receipt of court approvals; the approval of the Arrangement by a “majority of the minority” vote; exercised Dissent Rights. A special committee of independent directors was established by the Board of Directors of Forza. The Special Committee unanimously determined and recommended that the Arrangement is fair to the Minority Shareholders and is in the best interests of the Corporation and that the Arrangement Agreement be approved by the Board. The transaction is expected to close during the first quarter of 2024. Cormark Securities Inc. acted as fairness opinion provider to Special Committee of Forza. Cormark Securities has engaged Stikeman Elliott LLP as legal counsel to support their mandate. Taisha Lewis and Krisztian Toth of Fasken Martineau DuMoulin LLP acted as legal advisors to Forza and the special committee has engaged Stewart McKelvey as legal counsel. Markus Viirland and Richard Turner of Blake, Cassels & Graydon LLP is legal counsels to Zeg Oil. Computershare Trust Company of Canada acted as transfer agent to Forza. Buying Opportunity • Dec 01
Now 24% undervalued after recent price drop Over the last 90 days, the stock is down 23%. The fair value is estimated to be CA$0.13, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 29% over the last 3 years. Meanwhile, the company became loss making. Reported Earnings • Nov 10
Third quarter 2023 earnings released: US$0.002 loss per share (vs US$0.04 profit in 3Q 2022) Third quarter 2023 results: US$0.002 loss per share (down from US$0.04 profit in 3Q 2022). Revenue: US$8.51m (down 83% from 3Q 2022). Net loss: US$1.56m (down 107% from profit in 3Q 2022). Over the last 3 years on average, earnings per share has fallen by 51% per year but the company’s share price has increased by 29% per year, which means it is well ahead of earnings. Reported Earnings • Jul 27
Second quarter 2023 earnings released: US$0.22 loss per share (vs US$0.054 profit in 2Q 2022) Second quarter 2023 results: US$0.22 loss per share (down from US$0.054 profit in 2Q 2022). Revenue: US$784.0k (down 99% from 2Q 2022). Net loss: US$131.3m (down US$162.8m from profit in 2Q 2022). Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has increased by 17% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • May 11
First quarter 2023 earnings released First quarter 2023 results: Revenue: US$28.3m (down 42% from 1Q 2022). Net loss: US$1.82m (down 108% from profit in 1Q 2022). Over the last 3 years on average, earnings per share has increased by 76% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Duyuru • May 10
Forza Petroleum Limited, Annual General Meeting, Jun 27, 2023 Forza Petroleum Limited, Annual General Meeting, Jun 27, 2023, at 16:00 Central European Standard Time. Location: offices of Forza Petroleum Services SA at Route de Pré-Bois 14 Cointrin Switzerland Reported Earnings • Mar 17
Full year 2022 earnings released: US$0.23 loss per share (vs US$0.018 profit in FY 2021) Full year 2022 results: US$0.23 loss per share (down from US$0.018 profit in FY 2021). Revenue: US$191.3m (up 73% from FY 2021). Net loss: US$138.0m (down US$148.3m from profit in FY 2021). Over the last 3 years on average, earnings per share has increased by 64% per year but the company’s share price has only increased by 17% per year, which means it is significantly lagging earnings growth. Board Change • Mar 07
High number of new directors Non-Executive Chairman Vance Querio was the last director to join the board, commencing their role in the last week. Reported Earnings • Aug 01
Second quarter 2022 earnings released: EPS: US$0.054 (vs US$0.008 in 2Q 2021) Second quarter 2022 results: EPS: US$0.054 (up from US$0.008 in 2Q 2021). Revenue: US$58.3m (up 116% from 2Q 2021). Net income: US$31.5m (up US$27.2m from 2Q 2021). Profit margin: 54% (up from 16% in 2Q 2021). Over the last 3 years on average, earnings per share has increased by 41% per year but the company’s share price has fallen by 15% per year, which means it is significantly lagging earnings. Reported Earnings • May 14
First quarter 2022 earnings released: EPS: US$0.04 (vs US$0.037 in 1Q 2021) First quarter 2022 results: EPS: US$0.04 (up from US$0.037 in 1Q 2021). Revenue: US$48.7m (up 131% from 1Q 2021). Net income: US$22.2m (up 5.1% from 1Q 2021). Profit margin: 46% (down from 101% in 1Q 2021). Over the last 3 years on average, earnings per share has increased by 24% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings. Duyuru • Apr 09
Forza Petroleum Limited, Annual General Meeting, Jun 28, 2022 Forza Petroleum Limited, Annual General Meeting, Jun 28, 2022. Reported Earnings • Mar 18
Full year 2021 earnings: Revenues in line with analyst expectations Full year 2021 results: Revenue: US$110.9m (up 134% from FY 2020). Net income: US$10.3m (up US$119.0m from FY 2020). Profit margin: 9.3% (up from net loss in FY 2020). Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has increased by 9% per year whereas the company’s share price has increased by 10% per year. Reported Earnings • Nov 11
Third quarter 2021 earnings released: EPS US$0.01 (vs US$0.053 in 3Q 2020) The company reported a decent third quarter result with improved revenues, although earnings and profit margins were weaker. Third quarter 2021 results: Revenue: US$28.8m (up 122% from 3Q 2020). Net income: US$7.57m (down 75% from 3Q 2020). Profit margin: 26% (down from 232% in 3Q 2020). Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings. Reported Earnings • Aug 13
Second quarter 2021 earnings released: EPS US$0.008 (vs US$0.007 loss in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: US$27.0m (up US$24.6m from 2Q 2020). Net income: US$4.35m (up US$8.21m from 2Q 2020). Profit margin: 16% (up from net loss in 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 9% per year but the company’s share price has fallen by 22% per year, which means it is performing significantly worse than earnings. Reported Earnings • May 09
First quarter 2021 earnings released: EPS US$0.04 (vs US$0.45 loss in 1Q 2020) First quarter 2021 results: Revenue: US$21.0m (up 18% from 1Q 2020). Net income: US$21.2m (up US$270.8m from 1Q 2020). Over the last 3 years on average, earnings per share has fallen by 32% per year but the company’s share price has only fallen by 24% per year, which means it has not declined as severely as earnings. Reported Earnings • Mar 20
Full year 2020 earnings released: US$0.19 loss per share (vs US$0.11 loss in FY 2019) The company reported a poor full year result with increased losses, weaker revenues and weaker control over costs. Full year 2020 results: Revenue: US$47.3m (down 44% from FY 2019). Net loss: US$108.7m (loss widened 84% from FY 2019). Over the last 3 years on average, earnings per share has fallen by 63% per year but the company’s share price has only fallen by 21% per year, which means it has not declined as severely as earnings. Reported Earnings • Nov 15
Third quarter 2020 earnings released: EPS US$0.05 Third quarter 2020 results: Revenue: US$13.0m (down 35% from 3Q 2019). Net income: US$30.1m (up 65% from 3Q 2019). Over the last 3 years on average, earnings per share has fallen by 65% per year but the company’s share price has only fallen by 30% per year, which means it has not declined as severely as earnings. Duyuru • Jul 25
Zeg Oil and Gas Ltd completed the acquisition of 67% stake in Oryx Petroleum Corporation Limited (TSX:OXC) from AOG Upstream BV and certain of its affiliates. Zeg Oil and Gas Ltd entered into an agreement to acquire 67% stake in Oryx Petroleum Corporation Limited (TSX:OXC) from AOG Upstream BV and certain of its affiliates for $16.4 million on June 22, 2020. Zeg Oil and Gas will acquire an aggregate of 380.5 million common shares of Oryx Petroleum Corporation for approximately $0.043 per share. Zeg Oil and Gas already owns 119.63 million shares, representing approximately 22% of the issued and outstanding shares, of Oryx Petroleum Corporation. As a result of the transactions, certain shares of Oryx Petroleum Corporation that are currently unvested under the issuer’s long term incentive plan will vest, including 10.25 million LTIP Shares that will be issued to one of the vendors. These shares will be included in and form part of the acquired shares. Concurrent with the close of transaction, Zeg Oil and Gas will purchase from AOG Upstream 39.28 million warrants at exercise prices ranging from $0.2094 to $0.1633 per share, for an aggregate purchase price of approximately $4,000. Immediately following the closing of the transactions, including the vesting of the LTIP shares, Zeg Oil and Gas will own 500.2 million shares, representing approximately 89% of the then issued outstanding shares and AOG and its affiliates will not own any shares or securities convertible into shares of Oryx Petroleum Corporation.
Upon closing, Jean Claude Gandur will resign from the Board of Directors of, and all other positions he holds with, Oryx Petroleum Corporation and its subsidiaries. The transaction is subject to customary closing conditions and the loan settlement transaction. The deal is expected to close early in the third quarter of 2020.
Zeg Oil and Gas Ltd completed the acquisition of 67% stake in Oryx Petroleum Corporation Limited (TSX:OXC) from AOG Upstream BV and certain of its affiliates on July 23, 2020. The transaction was completed subsequent to the closing of the Loan Settlement on July 23, 2020. 
