Greenfire’s C$775 million rights offering is oversubscribed

Greenfire ($GFR) Resources reported preliminary results showing its C$775 million rights offering was oversubscribed. The company expects to issue the maximum approximately 115 million new shares, with no purchase required under the backstop agreement. Basic subscriptions covered roughly 113.7 million shares, leaving only about 1.3 million available for additional subscriptions.

Investors sought substantially more shares through the additional-subscription privilege, meaning those allocations will be reduced proportionately. Proceeds are intended to repay a C$575 million bridge facility and other debt associated with the Connacher acquisition. The update substantially advances the funding process, but the counts remain preliminary and the release does not itself confirm completed settlement. The large new share issuance should be distinguished from operating cash generation and carries dilution for holders who did not participate proportionately.

Sources:

• Greenfire Resources — preliminary rights offering results