Powerhouse Energy, the AIM listed waste-to-energy company has announced it is to buy the remaining 70% of its technology licensor, Pyromex, for a maximum of £33m.
The deal will see Powerhouse pay an initial fee to Pyromex's owner, Peter Jeney, of £2.5m over the next 18 months. The rest of the transaction will be dependent on the performance of Powerhouse.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
In today's statement Powerhouse points out that: "Pyromex has, during its technology development phase, generated a global following of potential customers now representing a valuable sales pipeline of future contracts".
This may explain the 17.5% jump in the value of Powerhouse's shares this morning as investors see a way for the directors to grow the business.
BS
-
Thousands of savers with £250k pensions take cash over tax-free money and IHT fearsWith a record £70 billion withdrawn from pensions in the year to March, experts are concerned savers are making knee-jerk decisions without advice that could affect their long term wealth
-
Steering a path through global turbulence
