Sitka Power Inc. has finalised the acquisition of all ordinary shares of Synex Renewable Energy Corporation in a cash transaction valued at $8.82mn. This transaction was carried out in accordance with an arrangement plan under the Business Corporations Act of British Columbia. Each Synex shareholder sold their shares for a cash settlement, thereby transferring all operational assets and development projects to Sitka Power Inc.
Governance changes and delisting
The closing of this transaction will lead to the upcoming delisting of Synex Renewable Energy Corporation shares from the Toronto Stock Exchange. The company has also filed an application to cease being a reporting issuer under Canadian regulatory obligations. Several board members, including Tanya DeAngelis, Daniel J. Russell, Majed Masad, Richard McGivern, and Danny Sgro, have resigned. At the same time, Tanya DeAngelis, Daniel J. Russell, and Hari Rupawala have stepped down from their executive positions, replaced by representatives appointed by Sitka Power Inc.
Asset integration and development outlook
The acquisition marks a strategic transfer of hydroelectric assets to Sitka Power Inc., which now integrates the entire portfolio of Synex Renewable Energy Corporation. This operation comes at a time of increased energy demand in British Columbia, providing the buyer with new development opportunities. The capital structure of Synex is now incorporated into Sitka Power Inc., ending Synex’s presence on financial markets.
Trevor White, Chief Executive Officer of Sitka Power Inc., praised the support from both companies and described a pivotal step for the group’s growth strategy in the Canadian market.
