LTC and PLL Sign Merger Agreement to Become Ilion Technology Corp.
Lithium Technology Corp. (LTC, Plymouth Meeting, PA) and Pacific Lithium Ltd. (PLL, New Zealand) recently announced that they have signed a definitive merger agreement following approval by LTC's board of directors. The merger is subject to the approval of the LTC shareholders, which will require the filing of a proxy statement with the SEC, and the PLL shareholders.Under terms of the transaction, LTC and PLL would merge into a new US corporation, Ilion Technology Corp., concurrent with an initial public offering (IPO) and NASDAQ listing of Ilion.Since the original announcement in October 1999, the merger transaction has been restructured as a tax free reorganization. According to the original terms, the merger would have occurred upon LTC shareholder approval and would have resulted in the transfer of all LTC assets to PLL in exchange for PLL stock, with the IPO occurring at a later date. Under the restructuring, the transfer of assets and technology will occur simultaneously with the Ilion IPO."The combination of PLL and LTC will serve as the catalyst for a wide range of new initiatives to secure a preeminent position in the global lithium polymer battery markets," commented Robin Johannink, PLL managing director.LTC's chairman and CEO, David J. Cade commented, "Approval by the LTC Board and signing of the formal merger agreement documents are critical steps in the process to complete the merger. We are confident that our shareholders will recognize the inherent value of uniting the two companies into a globally prominent new US public corporation and will approve the merger."