Vermilion Energy Inc. Sells Common Shares of Coelacanth Energy Inc.
Rhea-AI Summary
Vermilion Energy (TSX: VET, NYSE: VET) sold 30,000,000 common shares of Coelacanth Energy on December 8, 2025 at $0.76 per share for total proceeds of $22,800,000.
Prior to the transaction Vermilion held 110,179,104 shares (~20.7%); after the sale it holds 80,179,104 shares (~15.0%). Vermilion said the sale continues its priority of reducing debt to strengthen business resiliency. An amendment to an investor rights agreement prevents Vermilion from selling more than 60,000,000 of the original 110,179,104 shares without Coelacanth consent until June 8, 2026. An Early Warning Report was filed on SEDAR+.
Positive
- Proceeds of $22.8M from the share sale
- Stake reduced from 20.7% to 15.0%
- Action aligned with priority of debt reduction
Negative
- Ownership reduced by 5.7 percentage points
- Restriction: cannot sell > 60,000,000 original shares without consent until June 8, 2026
Key Figures
Market Reality Check
Peers on Argus
Vermilion gained 1.44% while close peers were mixed: DMLP -2.16%, MNR -1.44%, HPK -6.59%, KRP -1.32% and VTS +0.42%, pointing to a stock-specific move rather than a broad sector shift.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Nov 26 | Investor day announcement | Positive | +0.5% | Announcement of Investor Day focused on repositioned global gas portfolio. |
| Nov 05 | Earnings and guidance | Positive | -0.3% | Strong Q3 results, lower 2025 cost guidance and planned dividend increase. |
| Nov 05 | Dividend declaration | Positive | -0.3% | Announcement of C$0.13 cash dividend and payment details. |
| Oct 22 | Earnings date notice | Neutral | +1.8% | Confirmation of Q3 2025 release date and conference call logistics. |
| Aug 07 | Quarterly results | Negative | -4.1% | Q2 results with net loss and details on divestments and debt reduction. |
Recent news often produced modest moves, with some positive fundamental updates (earnings, dividends) met by flat or negative price reactions, while conference-related items skewed more positively.
Over the last six months, Vermilion reported multiple operational and capital-allocation milestones. Q2 and Q3 2025 results highlighted strong fund flows from operations, significant net debt reduction, and asset divestments with gross proceeds of $535 million. The company maintained and later signaled an increased dividend, and scheduled an Investor Day on December 10, 2025. Against this backdrop, today’s sale of Coelacanth shares continues the theme of balance sheet focus and portfolio repositioning.
Market Pulse Summary
This announcement details Vermilion’s sale of 30,000,000 Coelacanth shares for $22.8 million, cutting its stake from 20.7% to 15.0%. Management frames the move as part of its debt-reduction priority, consistent with earlier divestments and net debt cuts. Investors may watch future disclosures on Vermilion’s remaining Coelacanth position, upcoming Investor Day commentary, and subsequent capital allocation updates.
Key Terms
SEDAR+ regulatory
AI-generated analysis. Not financial advice.
On December 8, 2025, Vermilion sold 30,000,000 common shares ("Common Shares") of Coelacanth through a privately negotiated transaction with a group of purchasers, acting jointly and in concert, at a price of
Prior to the Transaction, Vermilion had ownership, control or direction over an aggregate of 110,179,104 Common Shares, representing approximately
The Common Shares were sold in continuance of Vermilion's stated priority of reducing its debt to further enhance the resiliency of its business. While Vermilion may not, until June 8, 2026, sell more than 60,000,000 of the 110,179,104 Common Shares held by it prior to the Transaction without the consent of Coelacanth pursuant to an amendment to the investor rights agreement with Coelacanth, Vermilion may, in the short term, decrease its holdings of Common Shares depending on market conditions, general economic conditions and industry conditions, and/or other relevant factors. Vermilion will continue to review its holdings of Common Shares and depending on the forgoing factors and amendment, as applicable, may in the future, increase or decrease its investment in the securities of Coelacanth.
This news release is being issued in accordance with National Instrument 62-103 – The Early Warning System and Related Take-Over Bid and Insider Reporting Issues in connection with the filing of the Early Warning Report. The Early Warning Report has been filed under Coelacanth's profile on SEDAR+ and can be viewed at www.sedarplus.ca.
About Vermilion
Vermilion is a global gas producer that seeks to create value through the acquisition, exploration and development of liquids-rich natural gas in
Vermilion's priorities are health and safety, the environment, and profitability, in that order. Nothing is more important than the safety of the public and those who work with Vermilion, and the protection of the natural surroundings. In addition, the Company emphasizes strategic community investment in each of its operating areas.
Vermilion trades on the Toronto Stock Exchange and the New York Stock Exchange under the symbol VET.
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SOURCE Vermilion Energy Inc.
FAQ
How many Coelacanth shares did Vermilion sell on December 8, 2025 (VET)?
What price did Vermilion receive per Coelacanth share in the December 8, 2025 sale (VET)?
What is Vermilion's Coelacanth ownership after the December 8, 2025 transaction (VET)?
Why did Vermilion sell Coelacanth shares on December 8, 2025 (VET)?
Are there limits on Vermilion selling more Coelacanth shares before June 8, 2026 (VET)?
Where can I view Vermilion's Early Warning Report for the Coelacanth sale (VET)?
