Vancouver, British Columbia--(Newsfile Corp. - June 26, 2019) - Reservoir Capital Corp. (CSE: REO) ("REO" or the "Company") is pleased to announce that it has completed its previously announced direct acquisition of shares of Kainji Power Holding Limited ("KPHL") and indirect increase in its economic interest in Mainstream Energy Solutions Limited ("MESL"), pursuant to the terms of a definitive share exchange agreement (the "Definitive Agreement") with KPHL and certain shareholders (the "Vendors") of MESL and KPHL, as previously announced on May 7, 2019 and April 16, 2019.
The Transaction constitutes the second stage of REO's investment into MESL. Pursuant to the Definitive Agreement, REO acquired an additional 9,950,912 shares of MESL, to be held through KPHL, and an additional 35% direct interest in KPHL, bringing REO's total equity interest in KPHL to 95%, in exchange for an aggregate of 269,942,233 common shares of REO ("REO Shares") issued to the Vendors and their designated beneficiaries (the "Transaction"). As a result of the Transaction, REO increased its indirect economic interest in MESL from 1.2% to approximately 3.8%.
The Transaction resulted in the creation of a new Related Person (as defined in the Policies of the Canadian Securities Exchange ("CSE")) as Mr. Tunde Afolabi acquired 199,942,233 REO Shares as a result of the Transaction, bringing his aggregate shareholdings in the Company to 219,942,233 REO Shares (representing approximately 45.7% of the issued and outstanding REO Shares on a post-Transaction basis).
Such REO Shares are subject to restrictions on transfer under Canadian securities law and CSE policies. The Transaction was considered an Arm's Length transaction.
About Reservoir Capital Corp.
REO's Vision & Mission is to assemble a portfolio of producing and near-production clean energy assets in growing economies.
REO's strategy to achieve its Vision is to approach owners of privately-held quality assets and offer them diversification, liquidity and exposure to a growing portfolio assembled following a disciplined investment policy.
REO's investment policy consists of taking carefully selected minority economic interests in key geographies, targeting regular dividend income over long periods, while offering the potential for capital gain in the medium term.
Further Information
For further information, contact:
Lewis Reford
CEO, Reservoir Capital Corp.
Telephone: 416-399-2274
Email: ceo@reservoircap.team
NEITHER THE CSE NOR THE INVESTMENT INDUSTRY REGULATORY ORGANIZATION OF CANADA ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
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