STEP Energy falls short with $100M IPO

CALGARY — STEP Energy Services (TSX:STEP) says it has raised $100 million in an initial public offering, falling short of the $200 million target it set out earlier this year.

The offering illustrates how even with Canadian oil and gas services producers recovering from a two-year crude price crash, accessing capital markets can be a struggle.

Last month, Source Energy Services (TSX:SHLE) went public in the first major energy company IPO since October 2014, suggesting markets were thawing. But Source also scaled back its plans, closing a $175-million IPO after initially aiming to raise about $300 million.

STEP had hoped to sell its shares for between $14 and $16, according to its preliminary prospectus filed in February.

However, its adjusted prospectus filed last week set the price at $10 per share. The stock ended the session on Tuesday at $9.95.

Step offers a range of well completion services, while Source is one of the largest suppliers of speciality sand to Canada’s well fracking industry.

Just Posted

WATCH: Red Deer’s 2017-2021 council sworn in

Mayor and council ready to serve for the next four years

Red Deer’s Salvation Army vehicles vandalized twice in six weeks

Police investigating Sept. 10 and Oct. 21 incidents

Update: More details released of fatal police-involved shooting near Alix

ASIRT says man rammed police car, injured officer

Influenza vaccine clinics get started across Red Deer, Central Alberta

Clutching stuffed animals they got from the Calgary Zoo, Owen and Alton… Continue reading

Replay: Red Deer

Watch the highlights from this week

Montreal prepares for “Cohen Week” as first anniversary of singer’s death looms

Three sets of crumbling concrete steps have just been fixed heading into… Continue reading

Montreal prepares for “Cohen Week” as first anniversary of singer’s death looms

His soulful poetry, distinctive baritone and knack for writing runaway hit songs… Continue reading

Sylvan’s talent on display for fundraising show

Sylvan Lake Refugee Project is hosting Sylvan’s Got Talent Nov. 3

B.C. ice rink where 3 people died remains closed due to safety concerns

FERNIE, B.C. — Residents who were forced from their homes because of… Continue reading

Trudeau condemns appointment of Mugabe as WHO ambassador

EDMONTON — Prime Minister Justin Trudeau called the appointment of Zimbabwe President… Continue reading

Friday Oct. 21: Winning Lotto Numbers

Friday, October 20, 2017 LOTTO MAX Winning Numbers 1 4 12 27… Continue reading

New northbound Hwy 2 lanes at Gaetz Avenue to open this Sunday

Drivers heading north through Red Deer on Hwy 2 will have a… Continue reading

Canadian planet hunter seeking alien life

‘The shifting line of what is crazy’ says Toronto-born astrophysicist

Most Read


Five-day delivery plus unlimited digital access for $185 for 260 issues (must live in delivery area to qualify) Unlimited Digital Access 99 cents for the first four weeks and then only $15 per month Five-day delivery plus unlimited digital access for $15 a month