ARC Financial owned STEP Energy Services files 2nd amendment to proposed IPO led by CIBC World Markets and Raymond James

ARC’s STEP Energy Services files IPO amendment

STEP Energy Services Ltd., a portfolio company of ARC Financial Corp., has filed a second amendment to its preliminary prospectus for its proposed initial public offering (IPO) and secondary offering.

Among the amendments are the removal of the proposed $200 million offering size and of company management as selling shareholders. Selling shareholders will now only include ARC Energy Fund 6 and ARC Energy Fund 8. ARC Energy Fund 6 and ARC Energy Fund 8 collectively control 92.18% of STEP outstanding shares on non-diluted basis or 72.65% on fully diluted basis.

The offering is being underwritten by CIBC World Markets Inc. and Raymond James Ltd. as co-lead underwriters and BMO Nesbitt Burns Inc., Peters & Co. Limited, RBC Dominion Securities Inc., GMP Securities L.P., National Bank Financial Inc., Scotia Capital Inc. and AltaCorp Capital Inc.

Stikeman Elliott LLP and Thompson & Knight LLP act as Canadian and US legal counsel to STEP while Dentons Canada LLP and Dentons US LLP act as legal counsels to the underwriters.

The Toronto Stock Exchange (TSX) has conditionally approved the listing of STEP common shares under the symbol “STEP”.

Founded in 2011, STEP is an oilfield service company that provides specialized and fully integrated coiled tubing and fracturing solutions. For the year ended December 31, 2106, STEP reported $169 million in consolidated revenues and $20 million in net loss. STEP had approximately 850 employees as of April 11, 2017

photo credit: STEP Energy Services

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