GreenBank Capital Inc (CSE:GBC), the next-generation investment firm, told investors it had bought another 29.5% of Staminier Ltd and acquired a loan made to Staminier worth almost £5 million.
GreenBank's holding in Staminier is lifted to 48.5% after the latter's shareholders gave notice they wished to exercise a 2020 put option.
The option was due to expire in September this year over 29.5% of the ordinary share capital of Staminier.
The option provides for all, but not some, of the shares in Staminier not already held by GreenBank to be acquired, but GreenBank has agreed to allow a partial exercise of the option.
"GreenBank has agreed to acquire these shares by the issuance to the vendors of 31,972,611 GreenBank Special Shares, a newly created class of share," GreenBank said in a brief statement.
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"The partial exercise and the special share issuance were approved at a board meeting on Tuesday 2nd August and are expected to be completed within the next 2 weeks."
GreenBank also noted that separately, on August 1, it had agreed to acquire a loan of £4.975 million (C$7.71M) made to Staminier plus interest accrued to date (C$822,400) and accruing in the future (C$51,700 per month).
The loan carries a 100% premium (C$7,710,00) if not repaid or converted by March 2024.
The consideration for the loan will be paid for by the issue to the vendors of 20.7 million GreenBank common shares from its treasury, it said.
"On the back of a challenging couple of years globally, during which we have reconstituted GBC, we feel the momentum created by our latest acquisition, will catalyse markets to fully appreciate the tangible development and growth our business has made," said Terry Pullen, GreenBank CEO.
"We are committed to work on our existing and new opportunities, keep our operating model creatively nimble to disproportionately achieve shareholder value".
GreenBank invests in multi-sector undervalued public and private growth companies focused on building consistent capital appreciation for its shareholders.
Contact the writer at giles@proactiveinvestors.com