LONDON (Alliance News) - Camco Clean Energy PLC Thursday said it has increased its stake in the holding company of the REDT energy storage system.
The company said it has struck a deal with Renewable Energy Dynamics Holdings Ltd, the holding company of the REDT Energy Storage business, to increase its stake by 5.2%. In return, Camco has issued REDH with just over 17.0 million shares.
The REDT storage system is a vanadium flow battery that is used to store energy in remote locations or for renewable energy, which are being constructed by major manufacturer Jabil Circuit Inc.
Following the transaction, Camco holds a 95.2% stake in REDH, and the company said it plans to acquire the remaining 4.8% in REDH.
The acquisition of the 5.2% stake was achieved through Camco acquiring a 15.33% stake in an intermidite holding company of REDH, Re-Fuel Technology Ltd. Camco already held a 71.28% in Re-Fuel Technology prior to the transaction. Camco now holds a 86.61% stake in Re-Fuel Technology.
Both REDH and Re-Fuel Technology have informed Camco they will not sell their Camco shares acquired through the transaction for at least 12 months.
Re-Fuel Technology Directors John Samuel, Arthur Simmonds and Peter Ridley, are classed as related parties to Camco. Samuel is Camco's business development manager and Ridley is its portfolio director.
Camco shares were up 2.8% to 5.53 pence per share on Thursday morning.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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