Gas producer Renergen has completed all the required steps for Airsol, a company fully owned by SOL S, to invest in special bonds called convertible debentures.
These bonds can be turned into Renergen shares once the gas producer starts selling its shares to the public on the Nasdaq stock market. SOL has now finished investing in these bonds, taking its total investment in Renergen to $7-million.
SOL first invested $3-million in these special Renergen bonds, with the latest investment of $4-million linked to Renergen and Tetra4 finalising a deal with Mahlako Gas Energy, which was announced in December 2023.
The transaction is strategic to both companies in that SOL is not only investing in Renergen, but also brings a wealth of knowledge and expertise to the company, Renergen said on March 20.
The SOL group was founded in Italy in 1927 and operates in 32 countries with more than 6 000 employees.
The SOL group has a significant presence in the industrial gases market including helium across the world.
SOL also brings significant liquefied natural gas experience to the table, complementing Renergen's overall offering.
"We are proud to define and strengthen our long-term global partnership with Renergen," says SOL MD and deputy chairperson Marco Annoni, who adds that the high-quality
investment meets SOL’s investment criteria and will help the group secure future growth.
Additionally, he says this investment will enhance SOL’s network capacity to serve key industrial areas in the many countries it operates in.
Renergen CEO Stefano Marani, meanwhile, expressed confidence that the partnership would benefit its Virginia gas project, in South Africa’s Free State, as SOL gains access to upstream helium.