Soros enters voting agreement on Realm
Shares of unconventional gas explorer Realm Energy International have moved significantly, driven by market speculation of an impending deal.
Realm shares changed hands as high as CDN $1.14 today, moving smartly from their closing price of $0.66 on May 27th, when the company announced that it has retained GMP Securities as part of initiating a process to “identify, examine and consider a range of strategic alternatives available in connection with its interests in Poland.”
The share activity has been driven in part by the recent regulatory filings of two significant Realm shareholders.
Soros Fund Management LLC and Enso Capital Management LLC, both reported that they had entered into a voting and tender agreement with an unidentified third party, who was “proposing to acquire all of the issued and outstanding shares” of Realm.
As of June 30th, the Soros managed Quantum investment fund held 16.15 % of Realm’s shares and additional share purchase warrants that, if exercised, would increase its ownership position to 21.01%. As of the same date, Enso Capital said that it exercised control or direction of over 15.58% of Realm’s shares, assuming the exercise of its share purchase warrants.
Last week Realm announced that it had entered into a farm-out agreement with ConocoPhillips to conduct joint exploration on licences that may be awarded as a result of these applications made by Realm in France’s prospective Paris Basin. Realm has made applications for exploration licences for 1.65 million acres in the Paris basin.
Officials at Realm would not comment on market activity or on the status of the on-going strategic review.
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