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Stetson Oil & Gas Awarded $16M in Claim Against Thomas Weisel Partners for Incomplete Bought Deal; Shares Up 33%

By: MT Newswires
Posted: 3/4/2013 3:48:00 PM
Referenced Stocks:

Stetson Oil & Gas Ltd. (SSN.V) has received a decision of the Ontario Superior Court of Justice (Commercial List) stating that Thomas Weisel Partners Canada Inc. breached its bought deal engagement letter with Stetson dated July 13, 2008, and awarding full damages of $16,042,669 plus interest and costs.

"This decision confirms and clarifies the underwriter's obligations in a bought deal transaction and will have a significant impact on the way both issuers and underwriters approach future bought deal financings in Canada," notes Lara Jackson, a securities litigation partner at Cassels Brock and one of the lead lawyers on the Stetson team.

SSN shares gained three cents to $0.12 on volume of about 904,000.