Manufacturing News

Cardia Bioplastics, Stellar Films Group merger agreement signed

Following last week’s announcement that Cardia was continuing
its due diligence on Stellar and that the deadline for this had been extended, the execution of a transaction document was announced this morning.

For the merger to proceed, the deal must get shareholder approval. It will see Stellar
Films issued 55 per cent (revised downwards from an original 58 per cent) in
the company and Cardia 45 per cent.

As well as shareholder approval, an expert report on the deal
being fair and third party consent are needed.

An EGM is planned for March 17 and – if approved – the merger
will be completed on or about March 20.

Both companies have partnered for about three years to create
biohybrid films for the hygiene and personal care market.

Image: http://www.cardiabioplastics.com/products/biohybrid

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