A business combination between CCTS and Tembo will be effected through the merger of CCTS with and into Tembo, with Tembo surviving the merger. Upon the closing of the acquisition, Tembo will change its name to “Tembo Group”. CCTS will issue 83.8 million shares in exchange for Tembo shares at $10 per CCTS share. This corresponds to a pre-money indicative equity valuation of Tembo of $838 million. Contemporaneously with the closing of the transactions contemplated by the BCA, VVPR will issue a dividend on a pro rata basis to VVPR stockholders as follows: An amount equal to ten percent (10%) of the aggregate Merger Consideration Shares (the “Tembo Dividend Shares”) to VivoPower shareholders as at a record date of 30 April 2024 (First Record Date); and An additional amount equal to another ten percent (10%) of the aggregate Tembo Dividend Shares to VivoPower shareholders who were registered on the record date of 30 April 2024 and still hold their VVPR shares as at 30 June 2024 (Second Record Date); and The Tembo Dividend Shares will be subject to a lock up period of 6 months post listing of Tembo Group. A total of 16.76 million Tembo Dividend Shares, representing 20% of the 83.8 million shares, will be distributed to VVPR shareholders. VVPR shareholders will receive indicatively 5 Tembo Dividend Shares for each VVPR share they hold, assuming no further VVPR share issuance and warrants conversion prior to the First Record Date and Second Record Date.
shungokusatsu :
Does that mean if one buys 1 vvpr share now, they get 5 tempo shares which are worth $10 each for a gain of $50? Sounds too good to be true, please correct my understanding
PaulGOPshungokusatsu:
There is a 6 month lock up on the extra shares, so by the time you can sell them they might be worth 1.00 each or less. But if VVPR can hold 5.00 a share by then, you might still come out ahead. But nobody knows what prices will be next year when the lockup expires or what price VVPR shares will be.
OneTwoThree : Where, can share some insights?
Kevin Chen15 : So it's an extra 1:5 Tembo stock plus dividends, right? Or just stocks?
OneTwoThree : Yes yes I saw, thanks! Before 30 April
102789231 : Key Terms of the Agreement
A business combination between CCTS and Tembo will be effected through the merger of CCTS with and into Tembo, with Tembo surviving the merger. Upon the closing of the acquisition, Tembo will change its name to “Tembo Group”.
CCTS will issue 83.8 million shares in exchange for Tembo shares at $10 per CCTS share. This corresponds to a pre-money indicative equity valuation of Tembo of $838 million.
Contemporaneously with the closing of the transactions contemplated by the BCA, VVPR will issue a dividend on a pro rata basis to VVPR stockholders as follows:
An amount equal to ten percent (10%) of the aggregate Merger Consideration Shares (the “Tembo Dividend Shares”) to VivoPower shareholders as at a record date of 30 April 2024 (First Record Date); and
An additional amount equal to another ten percent (10%) of the aggregate Tembo Dividend Shares to VivoPower shareholders who were registered on the record date of 30 April 2024 and still hold their VVPR shares as at 30 June 2024 (Second Record Date); and
The Tembo Dividend Shares will be subject to a lock up period of 6 months post listing of Tembo Group.
A total of 16.76 million Tembo Dividend Shares, representing 20% of the 83.8 million shares, will be distributed to VVPR shareholders. VVPR shareholders will receive indicatively 5 Tembo Dividend Shares for each VVPR share they hold, assuming no further VVPR share issuance and warrants conversion prior to the First Record Date and Second Record Date.
shungokusatsu : Does that mean if one buys 1 vvpr share now, they get 5 tempo shares which are worth $10 each for a gain of $50? Sounds too good to be true, please correct my understanding
PaulGOP shungokusatsu: There is a 6 month lock up on the extra shares, so by the time you can sell them they might be worth 1.00 each or less. But if VVPR can hold 5.00 a share by then, you might still come out ahead. But nobody knows what prices will be next year when the lockup expires or what price VVPR shares will be.
103209613UU : It feels like sending you a grain of sugar first, then taking your own factory.