Genesis Energy Investment on Tuesday sold solar-panel manufacturing and technology units Genesis Solar Espana, Genesis Solar Magyarország and Genesis Solar Singapore to Genesis Capital Management as well as solar panel construction know-how for €15 million after amending an unrealized share-purchase agreement for sale of the units to Genesis Solar Corporation, Genesis Energy Investment announced on Wednesday.
Genesis Energy Investment said that the amended agreement stipulates that Genesis Capital Management will transfer over a period of 30 months €10.5 million for the units and €4.5 million for know-how payable if Genesis Capital Management finishes the vertically integrated solar-panel manufacturing and solar-farm project within a period of five years.
Under the original agreement, Genesis Energy was to receive Genesis Solar Corporation shares as payment for the units and the know-how.
As a result of the amendment, Genesis Energy Investment returned Genesis Solar Corporation shares received pursuant to the share-purchase agreement whose purchaser position Genesis Energy Investment unilaterally transferred to Genesis Capital Management in July after Genesis Solar Corporation proved unable to meet the conditions of the contract.
Genesis Energy Investment said that Genesis Capital management is prepared to facilitate the subscription of Genesis Solar Corporation shares against Genesis Energy Investment shares based on the share prices of the two companies at the time of the listing of Genesis Solar Corporation shares, noting that Genesis Energy Investment cannot ensure the direct exchange of shares pursuant to a share-purchase agreement between the two companies.
Genesis Energy Investment said that the conclusion of the March 8 sale of the solar-panel units to Genesis Capital Management will make it possible for the company to focus exclusively on mining activities in the future.
Genesis Energy Investment shares trade in the B-category at the Budapest Stock Exchange.