CANADA: Fuel cell specialist calls in car companies' investment
Fuel cell specialist Ballard Power Systems has exercised its right to call a $C55 million investment from its Vehicular Alliance partners, DaimlerChrysler and Ford.
In a press release cited by Dow Jones Newswires, Ballard said the right relates to a call agreement entered into by the parties on December 31, 2003. It said DaimlerChrysler will purchase 2,431,388 Ballard common shares at $C12.34 a share, for a total of $C30 million. It said Ford will purchase 2,026,157 common shares at $C12.34 a share, for a total of $C25 million. Under an agreement between the parties dated July 8, 2004, if Ballard didn't call the investment before year-end, the share price would have reset to market price. The transaction is expected to close the first week of January.