Trading in renewable energy company commences January 4th, 2007
VANCOUVER, BRITISH COLUMBIA & DUBLIN, IRELAND, January 4 /CNW/ - Finavera Renewables Inc. (TSX VENTURE:FVR) (the 'Company' or 'Finavera Renewables'), a company focused on wind and wave energy development, announces commencement of trading on the TSX Venture Exchange (TSX-V) from the market open on January 4, 2007.
The listing was achieved via the reverse take over (RTO) of Cascade Minerals Inc. (Cascade), a TSX-V listed company. The RTO, which constituted the Company's Qualifying Transaction with the TSX-V, values the Company at approximately CAD $35 million.
Jason Bak, CEO comments, "This listing provides Finavera Renewables with a platform for growth as we continue to raise capital and advance our renewable energy projects and our wave energy technology. It gives investors the opportunity to actively participate in a company dedicated to developing renewable energy generation, the fastest growing energy sector in the world. We are also proud to present investors an opportunity to be involved in the only company listed on a North American exchange that is commercialising a wave energy technology."
Details of Qualifying Transaction
The Qualifying Transaction was effected pursuant to the terms of an Arrangement Agreement dated November 8, 2006 between Cascade, Finavera Renewables Limited (a privately-held Irish company) and its wholly-owned subsidiary, Finavera Energy Canada Inc. The transaction involved an arrangement whereby Cascade was amalgamated with Finavera Energy Canada Inc., with the former shareholders of Cascade Minerals receiving one common share of the Company for each one share held and the former shareholders of Finavera Renewables Limited receiving 5.6608 common shares of the Company for each one share held. A total of 105,703,660 new common shares of the Company will be issued to former shareholders of Finavera; 81,954,508 of which will be subject to a Value Security Escrow Agreement and released over a 36-month period.
Concurrent Private Placement
Concurrent with listing, the Company completed a private placement announced on June 15, 2006. The placement consists of a total of 7,514,336 flow-through shares with a purchase price of $0.20 per share. The placing agent, Dundee Securities Corporation, received an agent's fee of 601,149 Compensation Options with each option entitling the holder to acquire one additional common share with an exercise price of $0.20 and an expiry date 24 months following the closing date of the offering, together with a commission of $120,220 or 602,292 common shares (payable in cash or shares at the Company's option). The securities issued pursuant to the private placement are subject to a four month hold expiring April 16, 2007.
CEO Jason Bak concludes, "The need for clean, renewable energy has never been greater. Through our diverse portfolio of wind and wave energy projects, and our patented wave energy technology, we hope to lead the way in developing projects that will reduce dependence of fossil fuels and the emission of greenhouse gases. We believe Finavera Renewables is on the path to providing economically viable clean, sustainable energy for consumers and value for shareholders."
About Finavera Renewables (www.finavera.com)
Finavera Renewables, originally conceived in Ireland, has become a TSX Venture Exchange listed company and is dedicated to the development of renewable energy resources and technologies. The Company's objective is to become a major renewable and green energy producer by developing and operating its assets in the wind and wave energy sectors. Finavera Renewables has diversified its renewable energy portfolio to include wind power projects, wave power projects, and wave power technology development.
For a more detailed description of Finavera Renewables wind and wave energy projects and assets, please visit our website at www.finavera.com.