Reignwood Resources Holding Pte. Ltd. entered into a definitive arrangement agreement to acquire Twin Butte Energy Ltd. from IG Investment Management, Ltd. and other shareholders for CAD 21.3 million on June 23, 2016. Reignwood has agreed to acquire all of the outstanding common shares of Twin Butte for cash consideration of CAD 0.06 per share and all of the outstanding 6.25% convertible unsecured subordinated debentures due December 31, 2018 of Twin Butte for cash consideration of CAD 140 per CAD 1,000 principal amount of debentures, plus accrued and unpaid interest thereon. The total principal amount of debentures is CAD 85 million. Reignwood will pay CAD 1 to each option holders regardless of the number of options held by such Twin Butte option holder. Twin Butte's head office and management will remain in Alberta, while continuing the operations and ensuring ongoing employment for Twin Butte's staff. Upon closing of the transaction, the Twin Butte shares and the debentures will be de-listed from the Toronto Stock Exchange. The arrangement agreement provides for a mutual non-completion fee of CAD 5 million. The non-completion fee is payable in the event that the transaction is not completed or is terminated by either party in certain circumstances, including if Twin Butte enters into an agreement with respect to a superior proposal or if the Twin Butte Board withdraws or modifies its recommendation with respect to the transaction. The transaction is subject to court approval, Twin Butte Energy Ltd. shareholder and debenture holders approval, competition act, resignation of Twin Butte Energy Directors, dissenters rights limited to 5%, consent of option holders, consent of lenders and regulatory approvals. The Board of Twin Butte recommended the shareholders to approve the transaction. On August 9, 2016, Canaccord Genuity Corp. provided the board of directors of Twin Butte with an opinion that the consideration to be received by debenture holders of Twin Butte is fair, from a financial point of view, to the Twin Butte debenture holders. Twin Butte has extended the proxy voting deadline for the deal to August 29, 2016. On Aug. 24, 2016, an informal committee of concerned debenture holders of Twin Butte Energy Ltd., formed to oppose Twin Butte's proposed transaction with Reignwood Resources. As of August 29, 2016, deal was approved by the shareholders of Twin Butte and was rejected by the debenture holders of Twin Butte. Deal may be terminated. The deal is expected to close in late September, 2016. Peters & Co., Limited and National Bank Financial, Inc. acted as financial advisor and Fred Davidson of Burnet, Duckworth & Palmer LLP acted as the legal advisor for Twin Butte Energy Ltd. Deloitte Corporate Finance LLC acted as the financial advisor and Andrea Whyte of Osler, Hoskin & Harcourt LLP acted as the legal advisor for Reignwood. Computershare Trust Company of Canada acted as depositary in the deal. Canaccord Genuity Corp. acted as financial advisor, The Laurel Hill Advisory Group acted as information agent, Computershare Investor Services Inc acted as depository and Computershare Trust Company of Canada acted as transfer agent to Twin Butte Energy. Kevin Zych and Will Osler of Bennett Jones LLP acted as legal advisors and Macquarie Capital Markets Canada acted as financial advisor to Informal committee of Twin. Laurel Hill was paid advisory fees of CAD 0.06 million.