Heckmann Corp. (HEK) announced that its merger with Badlands Power Fuels, LLC closed effective today.
Mark Johnsrud, founder and owner of Power Fuels, has been appointed as Chief Executive Officer of the Company and joined Heckmann's Board of Directors as a Vice Chairman. Richard Heckmann now serves as the Company's Executive Chairman of the Board.
As a result of the merger, Heckmann paid $125 million in cash and issued 95 million shares of the Company's common stock to the owner of Power Fuels. The shares are subject to a two-year lockup agreement and a two-year standstill agreement and are not available for any type of borrow or exchange.
In addition, in connection with the transaction, Heckmann repaid all of Power Fuels' outstanding debt obligations totaling approximately $150 million. The Company also closed on the previously announced $325 million amended revolving credit facility.
In September, Heckmann said it agreed to buy privately-held Badlands Energy, LLC.
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