Canadian focused oil and gas company Madalena Energy Inc. made an announcement that Hispania Petroleum S.A. has assigned the convertible loan, provided by Hispania to the company, to KD Energy International Capital Limited, incorporated in the British Virgin Islands.
The Canadian company has provided its consent to the assignment, which is required pursuant to the terms of the Capex Loan, as the assignment was undertaken by Hispania and BVI-based KD Energy for succession planning of holding of all of the issued and outstanding common shares of each Hispania and KD Energy.
Under the terms of the loan, KD Energy will acquire or have the possibility to acquire more
than 20 per cent of the outstanding common shares in the capital of Madalena and become the control person of the company. It is expected that Madalena shareholder approval for the transaction will be sought at the company’s upcoming annual meeting of shareholders.
