Canadian GTO Resources Inc., previously mentioned here, has been planning to merge with three other goethermal companies, which are Polaris Geothermal Inc., Western GeoPower Corp. and privately held Ram Power.

Also mentioned before here were the current fund raising efforts of the company (or Ram Power specifically), which indicates that Ram Power is playing a leading part in this new planned geothermal power house. The company is lead by Hezy Ram, a former top executive at Ormat Technologies.

Now, as reported by Reuters, the company has increased its earlier C$100 million equity financing offer and is going to offer 52 million subscription receipts at C$3/ receipt.

Reuters says that “the C$156 million (US$ 145 million) will be raised in a private placement that will give purchasers shares in the combined company.

GTO Resources said the companies would offer about 52 million subscription receipts at C$3.00 per receipt, each exercisable into one common share of GTO after giving effect to a 10-for-1 consolidation.

The company said it expects to close the deal on or about August 18.”

Source: Reuters