Saint Jean Carbon Inc, a carbon science company engaged in the design and build of green energy storage, green energy creation and green re-creation through the use of carbon materials has announced the signing of an arm’s length term sheet on June 28 2019 to acquire Process Research Ortech Inc (PRO). PRO is a privately held world renowned mineral processing and metallurgical facility in Mississauga Ontario serving the cleantech, mining, metallurgical, recycling and chemical industries.
PRO was formed in 1999 after privatisation efforts by the Ontario Government of the former Ontario Research Foundation which has successfully carried out research and development work for over 70 years developing numerous solutions for companies worldwide.
“The acquisition will enable strategic growth of both companies towards the commercialisation of a wide variety of materials and products through direct access to internationally recognised technical and business experts. In addition, the facility at PRO has all the permits and equipment necessary to take on a vast array of mineral processing and metallurgical projects which include: hydrometallurgy, pyrometallurgy, electrometallurgy. With the support of Saint Jean, the goal would be to expand and commercialise PRO’s current portfolio of IP.”
Under the terms of the transaction, Saint Jean Carbon will issue 20,000,000 shares and a half warrants at C$0.07 for 36 months. PRO’s management will retain their positions in the company for minimum of 18 months and will be entitled to options through the company’s employment option plan. Within the lease the Company will have an option to purchase the property and building for C$3,200,000.00 for a period of 18 months. Closing is expected to be within 45 days. The issuance of capital stock is subject to regulatory approval.
Highlights of the deal are given as: a portfolio of ongoing projects with high growth potential, strong and loyal customer base which include large mining corporations, processing facilities complete with environmental permits, highly experienced management team, permanent staff and consultants, a vast array of equipment and services to characterise and process materials, and a strong portfolio of IP which includes patents and innovations developed at PRO.
VI Lakshmanan, PRO Vice Chairman and CEO, commented: “We are very pleased to have structured a deal with Saint Jean, we believe in their vision and certainly see the fit and how complimentary our businesses will blend together. The demand for raw materials for energy storage will continue to grow, with this partnership, we will be ready to supply the high quality materials to market. Our clients will continue to receive the great service they have come to expect, all of our employees will continue and be a part of the future growth and opportunities.”
Paul Ogilvie CEO of Saint Jean, commented: “We feel honoured to have this opportunity to acquire a world class company with a fantastic group of people. Our capabilities have just grown significantly, our opportunities to grow has also. We feel strongly that the acquisition will make us very competitive and keep us very flexible with the vast number of minerals we can process. The minerals used today in a battery is not the material of the future, the chemistry is on a very changing landscape, and we are ready for it.”