The contents of this announcement have been prepared by and are the sole responsibility of Drax Group plc (the Company ). RBC Europe Limited ( RBC ), which is authorised by the Prudential Regulation Authority (the PRA ) and regulated in the United Kingdom by the Financial Conduct Authority ( FCA ) and the PRA, is acting exclusively for the Company and for no one else in connection with the Acquisition, the content of this announcement and other matters described in this announcement and will not regard any other person as its clients in relation to the Acquisition, the content of this announcement and other matters described in this announcement and will not be responsible to anyone other than the Company for providing the protections afforded to its clients nor for providing advice to any other person in relation to the Acquisition, the content of this announcement or any other matters referred to in this announcement.
Drax is pleased to announce that it has signed an agreement (the Acquisition Agreement ) with Pinnacle Renewable Energy Inc. (PL.TO) ( Pinnacle ), providing for the acquisition by Drax Canadian Holdings Inc., an indirect, wholly-owned subsidiary of Drax, of the entire issued share capital of Pinnacle (the Acquisition ). The Acquisition will be implemented by way of a statutory plan of arrangement in accordance with the laws of the Province of British Columbia, Canada, at a price of C$11.30 per share (representing a premium of 13% based on the closing market price as at 5 February 2021 of C$10.04 per share and valuing the fully diluted equity of Pinnacle at C$385 million (£226 million