Biorenewable Technologies, Inc. and Harp Electrical Eng. Limited signed a non-binding letter of intent to acquire Renovare Environmental, Inc. in a reverse merger transaction for $12 million.
June 23, 2022
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Biorenewable Technologies, Inc. and Harp Electrical Eng. Limited (Harp) signed a non-binding letter of intent to acquire Renovare Environmental, Inc. (OTCPK:RENO) in a reverse merger transaction for $12 million on June 17, 2022. Pursuant to the transaction all the outstanding shares of capital stock of Harp will be transferred to RENO in exchange for an aggregate of 20,000,000 restricted shares of RENO Common Stock Immediately after the closing of the transactions contemplated herein, the Harp Shareholders will own approximately eighty four percent (84%) of the issued and outstanding shares of RENO Common Stock, on a fully-diluted basis, and the shareholders of RENO will retain and own approximately sixteen percent (16%) of the issued and outstanding shares of RENO Common Stock, on a fully-diluted basis .The letter of intent provides that if Renovare terminates the letter of intent, it will be required to pay Harp a breakup fee in the amount of $850,000. Details of the proposed transaction and a time frame for completing the proposed merger will be announced if and when the parties execute a definitive agreement. The parties have entered into a period of exclusivity in order to negotiate the proposed transaction in good faith. The transaction is subject to consummation of all required definitive instruments and agreements, obtaining all necessary board, shareholder, third-party, and applicable regulatory consents, satisfactory completion by RENO and Harp of all necessary technical and legal due diligence. The anticipated closing date for the Reverse Merger (the Closing Date) will be on or before September 2, 2022. EF Hutton, division of Benchmark Investments, LLC served as financial advisor to RENO.
Renovare Environmental, Inc. is a technology services company. The Company is focused on reducing the environmental impact of the waste management industry through the development and deployment of technology solutions. The Company's suite of technologies includes on-site biological processing equipment for food waste, patented processing facilities for the conversion of municipal solid waste into a renewable fuel, and real-time data analytics tools to reduce food waste generation. It markets an aerobic digestion technology solution for the disposal of food waste. The Company offers a line of Revolution Series Digesters, which are self-contained, robotic digestive systems that use a biological process to convert food waste into a liquid that is discharged down an ordinary drain. The Company has also developed an Internet of Things (IoT) technology platform to provide its customers with transparency into their internal and supply chain waste generation and operational practices.
Biorenewable Technologies, Inc. and Harp Electrical Eng. Limited signed a non-binding letter of intent to acquire Renovare Environmental, Inc. in a reverse merger transaction for $12 million.