Skycorp Solar Acquires Remaining 56% of Nanjing Cesun; Raises $3M PIPE
Skycorp Solar Group Ltd. announced the acquisition of the remaining 56% equity interest in Nanjing Cesun Power Co., Ltd. for $20,194,720, to be satisfied through the issuance of 7,983,000 newly issued Skycorp ordinary shares. This acquisition will result in Skycorp holding 100% of Nanjing Cesun, a comprehensive renewable energy company. Additionally, Skycorp entered into definitive agreements with three independent institutional investors to raise an aggregate of $3,000,000 in a private placement (PIPE) by issuing 1,694,000 Class A Ordinary Shares at a 30% discount. The company intends to use the net proceeds from the PIPE for general corporate purposes, and both the acquisition and PIPE shares are subject to lock-up agreements.
Key Highlights
- Skycorp Solar Group Ltd. to acquire remaining 56% equity in Nanjing Cesun Power Co., Ltd. for $20,194,720.
- Consideration for acquisition is 7,983,000 newly issued Skycorp ordinary shares at $2.5290 per share.
- The transaction implies a 100% enterprise valuation of Nanjing Cesun at $36,062,000.
- Raised $3,000,000 in a private placement (PIPE) from three independent institutional investors.
- Issued 1,694,000 Class A Ordinary Shares in PIPE at $1.7703 per share, a 30% discount.
- CEO Huang Weiqi's 4,904,000 Class B shares from acquisition are subject to a 24-month lock-up.
- Other beneficial owners' 3,079,000 Class A shares from acquisition are subject to a 6-month lock-up.
- All newly issued Class A Ordinary Shares under the PIPE are subject to a six-month lock-up period.