Today before the opening bell, Pan Global reported further substantial progress in its bid to acquire a 5.7 MW small-hydro project in northern India. The company announced that it had recently completed the second tranche of the first closing of its staggered acquisition of all of the outstanding shares and convertible debt of Regency Yamuna Energy Limited. Regency Yamuna Energy Limited is a privately held Indian corporation that is facilitating the completion of the Indian power plant.
Taking place on December 24, 2013, the closing saw Pan Global purchase 620,690 common shares from Regency Yamuna Energy Limited via Pan Global’s wholly owned subsidiary, Pan Asia Infratech Corp. With the first tranche and second tranche complete, Pan Global has purchased and currently owns an aggregate of 1,241,380 common shares of Regency Yamuna Energy Limited. The first tranche had been completed on December 2, 2013.
That represents approximately 6.51% of the Indian company’s outstanding common shares, in consideration for an aggregate purchase price of Rs. 18,000,010 (around $291,450 based on the exchange rate on the respective closing dates). In line with Pan Global’s acquisition agreement, Regency Yamuna Energy Limited must use its proceeds from the second tranche to pay for the plant project’s completion. The project is 95% complete, and the final stage of completion has been initiated.
Pan Global is working to complete the other closings required by its acquisition agreement with Regency Yamuna Energy Limited. As previously disclosed, the company had entered into a definitive stock purchase agreement with Regency Yamuna Energy Limited to acquire 100% of its outstanding shares and convertible debt, on October 28, 2013.
Further details regarding the second tranche closing can be found in Pan Global’s Form 8-K, available at: http://www.sec.gov/Archives/edgar/data/1492617/000149315214000056/0001493152-14-000056-index.htm
More details about Pan Global’s October stock purchase agreement can be found in Pan Global’s October 29th filing with the SEC, available at: http://www.sec.gov/Archives/edgar/data/1492617/000149315213002093/0001493152-13-002093-index.htm
For more information about Pan Global and its progress, visit: www.panglobalcorp.com
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