AIMCo Acquires Energy Producer in Alberta
Posted on 05/30/2023
The Alberta Investment Management Corporation (AIMCo) is owned by the province of Alberta and has CA$ 168 billion under management. It has now acquired a majority stake in FutEra Power Corp., which was a subsidiary of Calgary’s Razor Energy Corp.
Razor will provide 70% of its common share holdings and eliminate US$ 68.2 million of secured debt held by AIMCo. FutEra commissioned Canada’s first natural gas and geothermal project recently in Alberta.
FutEra’s ownership structure will now change and it will launch a new class of voting shares, convertible preferred shares with the right to receive cumulative dividends. The shares will be auctioned to eligible Razor Energy shareholders.
FutEra put out a statement pointing out its philosophy on energy: “A continued cleaning up of our oil patch earns our ability to export Canadian oil to a global market, we can erase our differential, or commodity price discount to world market prices. It may allow Canada to sell a responsible product to world markets through a recognition of our responsible production practices. Cleaner Canadian oil and gas, and the funds generated by its production, is the first step in moving away from our global dependence on the worst forms of pollution intensive energy. It’s up to us to insist that we fund the transition toward a cleaner future and not cede the oil business to despots, tyrants and worse. Demand does not go unanswered. Alberta should heed the call.”