Press release from Marketwire
Savanna Energy Services Corp. Completes Acquisition of Silverstar Well Servicing Ltd.
Tuesday, July 12, 2011
Savanna Energy Services Corp. Completes Acquisition of Silverstar Well Servicing Ltd.16:20 EDT Tuesday, July 12, 2011CALGARY, ALBERTA--(Marketwire - July 12, 2011) - Savanna Energy Services Corp. (TSX:SVY) ("Savanna") is pleased to announce the closing of the previously announced transaction whereby Savanna has acquired all of the outstanding shares of Silverstar Well Servicing Ltd. ("Silverstar"). The transaction was accomplished pursuant to the terms of a court approved plan of arrangement completed under the Business Corporations Act (Alberta) (the "Arrangement"). The Arrangement received the support of 98.2% of the votes cast at the special meeting of holders of common shares and holders of options to purchase common shares of Silverstar, voting together as a single class, held on July 11, 2011. Pursuant to the Arrangement, Savanna acquired all of the outstanding common shares of Silverstar in exchange for total consideration of 1,956,389 common shares of Savanna and $19,804,200 cash. Silverstar is a well servicing company operating 17 mobile freestanding service rigs throughout Alberta and British Columbia. The assets acquired from Silverstar consist of 13, class III double service rigs and 4 single service rigs with an average age of less than 4 years old. These 17 service rigs will take our total service rig count to 101, which are located throughout Canada, the U.S., and Australia. We are confident this acquisition will continue to attract experienced, quality personnel to work for one of the largest service rig operators in western Canada.Savanna is a Canadian-based oil field service provider offering drilling, well servicing, and rental services whose focus is to provide fit-for-purpose equipment and technologies to our clients around the globe.Cautionary Statement Regarding Forward-Looking Information and StatementsCertain statements and information contained in this press release may constitute forward-looking information within the meaning of applicable Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. These statements are based on certain assumptions and analysis made by Savanna in light of its experience as well as other factors it believes are appropriate in the circumstances. However, whether actual results or events will conform to Savanna's expectations and predictions is subject to a number of known and unknown risks and uncertainties which could cause actual results and events to differ materially from Savanna's expectations. Consequently, all of the forward-looking information and statements made in this press release are qualified by this cautionary statement and there can be no assurance that the actual results or events anticipated by Savanna will be realized or, even if substantially realized, that they will have the expected effects on Savanna or its business or operations. Except as may be required by law, Savanna assumes no obligation to update publicly any such forward looking information and statements, whether as a result of new information, future events, or otherwise.FOR FURTHER INFORMATION PLEASE CONTACT: Ken MullenSavanna Energy Services Corp.President and CEO(403) 503-9990(403) 267-6749 (FAX)ORDwayne LaMontagneSavanna Energy Services Corp.Executive Vice President & Chief Development Officer(403) 503-9990(403) 267-6749 (FAX)www.savannaenergy.com