Chapeau Aquires Specialized Energy Products Inc.
Chapeau Inc. (Salt Lake City, UT) announced that it has finalized its merger agreement with Specialized Energy Products Inc. (SEP, Reno, NV). Chapeau acquired SEP for 3.5 million shares of its common stock and the potential issuance of an additional three million shares of common stock on the achievement of various milestones in the development of the new business. SEP shareholders should hold approximately 43 percent of the combined company if all shares are issued without further dilution.
As a result of the merger, Chapeau will now commence operations as a developer, assembler and seller of packaged co-generation and power-generation systems to the electrical power market. The merger provides SEP with the capital necessary to complete its Deutz AB-powered electrical generation system, which the company plans to introduce later in 2001.