Business
ReconAfrica and Renaissance Announce Signing of Definitive Arrangement Agreement
ReconAfrica and Renaissance Announce Signing of Definitive Arrangement Agreement ...
About this update from Reconnaissance Energy Africa Ltd.
[{"type":"text","content":"\n \n \n \n ReconAfrica and Renaissance Announce Signing of Definitive Arrangement Agreement\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n VANCOUVER, BC\n \n ,\n \n May 19, 2021\n \n /CNW/ - Reconnaissance Energy Africa Ltd. (\"ReconAfrica\") (TSXV: RECO) (OTCQX: RECAF) (\n \n Frankfurt\n \n : 0XD) and Renaissance Oil Corp. (\"Renaissance\") (TSXV: ROE) (OTCQB: RNSFF) are pleased to announce that they have entered into a definitive arrangement agreement dated\n \n May 18, 2021\n \n (the \"Definitive Agreement\") pursuant to which ReconAfrica has agreed to acquire all of the issued and outstanding common shares (the \"Renaissance Shares\") and convertible securities of Renaissance (the \"Transaction\") by way of a statutory plan of arrangement under the\n \n Business Corporations Act\n \n (\n \n British Columbia\n \n ).\n \n \n \n \n \n \n \n \n \n Under the terms of the Definitive Agreement, each holder of Renaissance Shares (a \"Renaissance Shareholder\" and, collectively, the \"Renaissance Shareholders\") will receive 0.046 (the \"Exchange Ratio\") of a common share of ReconAfrica (each whole common share, a \"ReconAfrica Share\") for each Renaissance Share held (the \"Consideration\"). The value of the Consideration was calculated on\n \n April 16, 2021\n \n , the last day of trading prior to first announcement of the Transaction, as\n \n C$0\n \n .35 per Renaissance Share or approximately\n \n C$155 million\n \n representing a 1.45% premium over the closing price of the Renaissance Shares on the TSX Venture Exchange (the \"TSXV\") on\n \n April 16, 2021\n \n . Following the completion of the Transaction, current Renaissance Shareholders (assuming outstanding Renaissance options and warrants are exercised in full) will hold approximately 20,386,145 shares or approximately 10.76% of the fully-diluted issued and outstanding shares of ReconAfrica (assuming completion of ReconAfrica's public offering announced on\n \n May 5, 2021\n \n with no exercise of the over-allotment option thereunder).\n \n \n As part of the ...