LONDON (Alliance News) - Camco Clean Energy PLC Wednesday said it has reached an agreement to acquire the remaining shares in Renewable Energy Dynamics Holdings Ltd that it does not already own.
Shares in Camco were trading up 16% at 5.50 pence Wednesday afternoon.
REDH is the joint venture holding company for Camco's REDT Energy Storage business. Camco will purchase the remaining shares from Alchemy Projects Limited, AIB Seed Capital Fund LP and Enterprise Ireland.
Camco will issue the vendors with 125.7 million Camco shares at EUR0.01 each as payment for the purchase.
Following the transaction, Camco will have a 90% economic interest in REDH and will seek to acquire the remaining 10% in a separate transaction.
Following completion, the REDT Energy Storage business will become the primary focus for Camco and, accordingly, it is likely that in the near future it will seek the approval of its shareholders to change the name of the company to reflect this.
In 2013, REDH recorded a pretax loss of EUR128,000 and had net assets of EUR2.0 million.
"The full consolidation of REDT into Camco allows the company to focus entirely on its energy storage product and investors to invest in an energy storage pure play as it enters the commercial phase of its development. Flow batteries are an exciting technology which has long been predicted to satisfy a significant segment of the stationary energy storage market," Chief Executive Scott McGregor said in a statement.
By Karolina Kaminska; karolinakaminska@alliancenews.com @KarolinaAllNews
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