Twin Vee PowerCats (NASDAQ: VEEE) shares surged more than 370% on Monday, trading around $23, after the company announced a definitive agreement for a transformative transaction involving a merger with a subsidiary of USFM Corporation and the privatization of its marine business.
Under the agreement, a subsidiary of USFM Corporation, a developer of strategic mineral interests in Greenland, will merge with and into Twin Vee. Existing Twin Vee shareholders will receive equity in the combined public company as part of the transaction.
Before the merger closes, Twin Vee plans to establish a Delaware statutory trust that will hold the ****** ets and liabilities ****** ociated with its marine business, which includes the Twin Vee and Bahama Boat Works brands. Existing shareholders will receive non-transferable contingent value rights (CVRs) in the trust, which will entitle holders to potential future distributions generated from the operations of the privately held marine business.
The company said the structure is intended to unlock value for shareholders, provide the marine business with additional strategic and financial flexibility, and support future growth opportunities.
"This transaction represents an important milestone for the company," Kevin Schuyler, lead independent director of Twin Vee, said in a statement.
Under the agreement, a subsidiary of USFM Corporation, a developer of strategic mineral interests in Greenland, will merge with and into Twin Vee. Existing Twin Vee shareholders will receive equity in the combined public company as part of the transaction.
Before the merger closes, Twin Vee plans to establish a Delaware statutory trust that will hold the ****** ets and liabilities ****** ociated with its marine business, which includes the Twin Vee and Bahama Boat Works brands. Existing shareholders will receive non-transferable contingent value rights (CVRs) in the trust, which will entitle holders to potential future distributions generated from the operations of the privately held marine business.
The company said the structure is intended to unlock value for shareholders, provide the marine business with additional strategic and financial flexibility, and support future growth opportunities.
"This transaction represents an important milestone for the company," Kevin Schuyler, lead independent director of Twin Vee, said in a statement.
4 months ago
