kitchens31 Aug 2009 14:21
Hi there.
http://www.rurelec.com/news-and-publications/125-notice-of-general-meeting-and-trading-update?dfb84b337b9d11a30eedb0f815d19665=0ed1a8b6ba0cf099bb1af3935fc9a224
Here's the crux of it:
Related Party Transactions
Pursuant to the IPC Capitalisation and in conjunction with the Placing, IPC, a company controlled by Peter Earl (Managing Director of Rurelec), of which James West (Non-Executive Chairman of Rurelec) is chairman and Elizabeth Shaw (Finance Director of Rurelec) is also a director, has agreed to capitalise a total of £2 million of the loans made by it and by Southern Integrated Energy Limited ("SIE"), a wholly owned subsidiary of IPC, to Rurelec, currently amounting to approximately £4.4 million principal. The IPC Capitalisation will take place at the Placing Price, giving rise to an equity issue of 25,000,000 New Ordinary Shares to IPC, subject to the satisfaction of certain conditions. IPC and SIE have undertaken not to call for the repayment of the remainder of the net aggregate balance of their loans before 1 May 2010 or earlier upon the refinancing of EDS. Following, netting off of amounts due from IPC for the purchase of Rurelec's remaining unused Jenbacher gas engines, the balance due to IPC will be approximately £1.2 million. IPC has agreed that it will not dispose of its Ordinary Shares allotted pursuant to the IPC Capitalisation for a period of twelve months following issue without agreement with Rurelec's broker.