Tuesday, December 10, 2013

Pan Global Corp. (PGLO) Secures Stake in Small-Hydro Plant as Part of Plan to Acquire 100% Ownership

Pan Global today announced the consummation of the First Tranche of the First Closing of its previously announced staggered acquisition of 100% of Regency Yamuna Energy Limited (“RYEL”), a privately held Indian corporation which is commissioning a 5.7 MW small-hydro project in northern India (the “Project”).

As a result of purchasing 331,034 RYEL Common Shares and converting RYEL’s outstanding 15% Convertible Debenture , Pan Global’s wholly owned subsidiary purchased an aggregate of 620,690 Common Shares of RYEL, representing approximately 3.36% of the total number of outstanding Common Shares, for a total purchase price of approximately $145,874 USD.

RYEL will be using the proceeds of Pan Global’s investment to complete the small-hydro project in northern India. This Project is estimated to be 95% complete.

To learn more information about this transaction, please review recent 8-K filed with the SEC: http://www.sec.gov/Archives/edgar/data/1492617/000149315213002653/0001493152-13-002653-index.htm

As previously disclosed, the company, through its wholly-owned subsidiary, Pan Asia Infratech, Corp., entered into a definitive Stock Purchase Agreement (“Acquisition Agreement”) on October 28, 2013 to acquire 100% of the outstanding shares and convertible debt (if not previously converted) of RYEL which is commissioning the Project. The Acquisition Agreement contains pre-closing conditions, customary representations and warranties, post-closing covenants and mutual indemnification obligations for, among other things, inaccuracy or breach of any representation or warranty and any breach or non-fulfillment of any covenant.

For additional information on Pan Global, visit www.panglobalcorp.com

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