Overview
- Innovation Beverage Group, which disclosed the deal Wednesday, now controls about 51% of BlockFuel after a March 16 share swap that also issued 3,815,766 IBG warrants priced at $0.0001.
- The companies executed an amended merger plan that would make BlockFuel a wholly owned subsidiary with its equity holders owning about 90% of the combined company.
- The closing remains subject to customary conditions including regulatory reviews and approval by The Nasdaq Stock Market LLC, with completion targeted in the coming weeks.
- The newly issued warrants are not exercisable until shareholder and Nasdaq approvals and would adjust to 20,643,297 IBG shares at the time of merger closing.
- IBG also provided BlockFuel a $2.5 million unsecured loan used to repurchase and cancel certain BFE shares, which would convert into an intercompany balance after the merger closes.