Magma Sweden now holds an 84.21% interest in HS Orka, and in the latest transaction, the company acquired 38.03% of HS Orka’s outstanding shares from Geysir Green Energy.
The company acquired the 38.03% interest in consideration for a payment of approximately $32.3m and issuance of 24,808,569 subscription receipts of Magma Energy.
Each subscription receipt will convert into one common share of Magma Energy on 18 December 2010 for payment of no additional consideration.
Magma Sweden’s previously announced agreement to acquire Geysir’s remaining 14.32% interest in HS Orka has not yet closed and remains subject to certain outstanding closing conditions, which are expected to be met in the near term.
