South Pacific and Calgary offered undertakings to the Securities Commission after Commissions concern that they may have offered securities to the public in contravention of the Securities Act. The undertakings will ensure that no such breaches occur in the future.
South Pacific and Calgary and the directors of South Pacific and Calgary acknowledged the Commission's concerns and offered undertakings to remedy this situation and to ensure no breaches occur in future.
On the scheduled closing date of the Original Offer, South Pacific and Calgary received a letter from the Securities Commission, expressing its concern that the securities may have been offered to the public in contravention of the Securities Act 1978.
South Pacific and Calgary each offered equity securities under a rights issue to all existing shareholders of the South Pacific Energy Group by way of a letter to shareholders. These companies did so without a registered prospectus or investment statement.
South Pacific and Calgary and their respective wholly-owned subsidiaries are the constituent companies of the "South Pacific Energy Group" which is involved in oil and gas exploration, drilling and production in New Zealand. Shareholders of the South Pacific Energy Group hold equal numbers of shares in each of South Pacific and Calgary.