Irati Energy Corp. entered into a definitive amalgamation agreement to acquire Blue Sky Energy Inc. (TSXV:BSI) in a reverse merger transaction on November 9, 2017. Under the terms of the agreement, former shareholders of Irati Energy will receive one new Blue Sky Energy share for each one Irati Energy share held. In connection with the transaction, each Irati Energy option will be exchanged for a Blue Sky Energy option on the same terms and conditions as the prior Irati Energy option other than such option will now be exercisable to receive one new Blue Sky Energy share. In addition, each convertible security of Irati Energy other than stock options and Irati Energy DSUs (including the Irati Energy warrants) will remain outstanding and will be convertible into or exercisable for, as applicable, the equivalent number of new Blue Sky Energy shares on the same terms. The DSUs of Irati Energy will be terminated prior to closing of the transaction. In related transactions, a private third party company entered into an agreement to acquire Agua Grande Exploracao E Producao De Petroleo Ltda. from Blue Sky Energy Inc. on November 9, 2017 and Irati Energy intends to complete a non-brokered private placement of 4 million common shares at a price of CAD 0.5 per offered share for gross proceeds of CAD 2 million. As a result of the transaction, Blue Sky Energy will continue on with the business of Irati Energy under the name “Blue Sky Energy Inc.” As of November 2, 2018, Blue Sky Energy announced that shareholder will hold special meeting on December 5, 2018 to approve change of name of Blue Sky Energy Inc. to Irati Energy upon completion of the transaction. On completion, the management of the combined company will be the current management of Irati Energy, which will be comprised of Joe Carrabba as President and Chief Executive Officer, Ryan Ptolemy as Chief Financial Officer, and Neil Said as Corporate Secretary. The management and Board of Directors of Blue Sky Energy will be changed to consist of people who have experience in the new business to be undertaken by the combined company. Board of Directors of Blue Sky Energy will increase from four to five Directors and Blue Sky Energy will elect, conditional upon completion of the transaction, six new Directors, consisting of Carlo LiVolsi as Non-Executive Chairman, Joe Carrabba, Stan Bharti, David Argyle, and Charles Wachsberg. The transaction is subject to a number of conditions, including shareholder approval of Blue Sky Energy and Irati Energy, the election of the new Directors and the shares for debt transaction pursuant to the policies of the TSXV to convert Blue Sky Energy’s debts and payables to Blue Sky Energy shares, and regulatory approval, including approval of the TSXV. The transaction has been unanimously approved by the Boards of Directors of Irati Energy and Blue Sky Energy. Boards of Irati Energy and Blue Sky recommend that their respective shareholders vote in favor of the transaction. It is anticipated that both shareholder meetings and closing of the transaction will take place in the first quarter of 2018.