Completion of the sale of Greenlane Biogas

About this update from Chesterfield Special Cylinders Holdings Plc

[{"type":"text","content":"\n \nRNS Number : 0071B Pressure Technologies PLC 04 June 2019  \n\n \n \n4 June 2019\n \nTHE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED BY THE COMPANY TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE EU MARKET ABUSE REGULATION (596/2014). UPON THE PUBLICATION OF THE ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN.\n \nPressure Technologies plc\n(\"Pressure Technologies\" or \"the Group\")\n \nCompletion of the sale of Greenlane Biogas\nPressure Technologies (AIM: PRES), the specialist engineering group, is pleased to announce that further to its update on 28 May 2019 it has now completed the sale of its wholly-owned subsidiary, PT Biogas Holdings Limited (\"Greenlane\"), which is the holding company for the Group's Alternative Energy Division, to Creation Capital Corp (TSX-V: CRN.P) (\"Creation Capital\"), a capital pool company listed on the TSX Venture Exchange (\"TSX-V\"), for an aggregate price of £11.1 million (the \"Sale\").   \nCommenting on the Sale, Joanna Allen, Chief Financial Officer of Pressure Technologies, said: \"The completion of this sale concludes the Board's process to realise the potential of the Greenlane Biogas business in the expanding market for renewable natural gas.  I would like to thank the Greenlane team for their hard work and wish them and the new leadership team all the best for their future as Greenlane Renewables Inc. We will remain a supportive shareholder and anticipate retaining our holding for the medium term.\"\nSummary of the Sale\nThe aggregate purchase price of £11.1 million is before adjustments for working capital and debtlike items based on a lock box balance sheet as at 2 February 2019. Under a lock box pricing mechanism, the purchase price is adjusted based on an historical balance sheet and there are no further post-closing adjustments for cash, debt and working capital. The lock box adjustments have reduced the consideration to £10.1 million.\nFollowing the conclusion of the private placement, the final consideration for the Sale is therefore comprised:\n·    £2.0 million cash;\n·    £2.0 million of Consideration Securities in Greenlane Renewables Inc, representing a 21% holding after satisfaction of certain fees and c...

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