Gran Tierra stockholders approve $1.33 billion asset sale

Calgary, Alberta - Gran Tierra Energy shareholders have authorized the sale of the company's Colombian and Ecuadorian operations to Maurel & Prom for roughly $1.33 billion, including assumed debt and contingent on adjustments. This decision was made during a special shareholder meeting held today.

The agreement to sell the businesses was initially established on August 5, 2026, as per a press release. Gran Tierra anticipates receiving approximately $315 million in total net cash proceeds from the transaction, with $250 million due at closing and an additional $65 million payable 364 days later.

At the meeting, stockholders also cast votes on related executive compensation and a potential adjournment of the meeting. Gran Tierra's President and CEO, Gary Guidry, expressed satisfaction with the approval, stating that it brings the company closer to closing a deal that will realize value from its Colombian and Ecuadorian assets.

Upon completion, Gran Tierra is expected to be debt-free, with the opportunity to return capital to shareholders and fund its Canadian and Azerbaijan portfolios. However, the transaction still needs regulatory approvals in Colombia and Ecuador, along with other standard closing conditions. The company has already secured the necessary consents from holders of its 9.750% Senior Secured Amortizing Notes due in 2031.

Gran Tierra aims to finalize the sale by December 31, 2026. The company plans to utilize a portion of the net cash proceeds for a share repurchase program, with the board of directors responsible for determining the structure, size, and terms of any repurchase. This decision remains contingent on successfully completing the sale.