REC proposes separation of REC Silicon and REC Solar
Sandvika, Norway - REC (Renewable Energy Corporation ASA announces that it proposes to separate its silicon and solar businesses.
The transaction
The Board of Renewable Energy Corporation ASA (REC) has decided to call for an Extraordinary General Meeting (EGM) to consider a separation of REC Solar from REC. It will be proposed that REC shareholders are offered to purchase the shares of REC Solar in an oversubscribed and fully underwritten offering (the "Offering"), valuing the equity of REC Solar at NOK 800 million. REC Solar will seek listing on the Oslo Stock Exchange.
All shareholders in REC as of the date of the EGM will receive non-tradable subscription rights to their portion of the shares of REC Solar. They will thus be able to maintain the same ownership stake in REC Solar as they currently hold in REC. Oversubscription will not be possible, but a syndicate established by some of REC's largest shareholders guarantees subscription for any shares in REC Solar not subscribed in the Offering. Companies controlled by or parties related to Jens Ulltveit Moe (44 percent), QVT (20 percent), member of the REC board
Source: IWR Online, 18 Jul 2013