PetroFalcon Corp., a Toronto-based natural resources company, has signed a share purchase agreement for the acquisition of 90% of the outstanding shares of Solar Resources Holding Sarl (Etrion), a private renewable energy independent power producer, from Lorito Holdings SRL and related parties.
Subject to certain conditions, including receipt of all required regulatory approvals, PetroFalcon intends to acquire 90% of Etrion from the current shareholders at cost of 2.3 million euros in cash. PetroFalcon will also advance a loan to Etrion in the amount of 1.35 million euros in order to repay an equivalent amount advanced to Etrion by Lorito.
Lorito is an investment company wholly owned by a Lundin family trust. The remaining 10% of Etrion will continue to be held by Marco Northland, the vice chairman and CEO of Etrion.
‘Etrion is well advanced with the government permitting and bank financing for 4 MW of ground-based solar photovoltaic power generation parks in Italy,’ says Northland. ‘The company also has a pipeline in Italy of more than 20 MW for construction in 2010-2011.’
SOURCE: PetroFalcon Corp.