VANCOUVER, May 13 /PRNewswire-FirstCall/ - Magma Energy Corp. ("Magma") (TSX: MXY) and Plutonic Power Corporation ("Plutonic") (TSX: PCC) today announced the completion of the merger of Magma and Plutonic pursuant to a plan of arrangement (the "Arrangement"). As previously announced, the Arrangement was approved by the Supreme Court of British Columbia on May 9, 2011.
Pursuant to the Arrangement, Magma has acquired all of the outstanding shares of Plutonic on the basis of 2.38 common shares of Magma and Cdn. $0.0001 in cash for each Plutonic common share. In addition, all of the outstanding stock options to purchase Plutonic common shares are now exercisable for common shares of Magma in accordance with the same exchange ratio.
In connection with the Arrangement, Magma will change its name to "Alterra Power Corp." and its common shares will, subject to receipt of final approval of the Toronto Stock Exchange ("TSX"), trade on the TSX under the symbol "AXY". For trading purposes, the change of name and trading symbol are expected to become effective, subject to TSX approval, as of the commencement of trading on May 18, 2011.
Subject to TSX confirmation, Plutonic common shares are expected to be delisted from trading on the TSX as of the close of business on May 17, 2011.About Magma Energy Corp. Magma Energy Corp. is a geothermal power company which owns and operates 198 MW of geothermal energy projects while actively exploring for and developing new projects. Magma has an extensive portfolio of properties throughout the western United States, Iceland, South America and Italy, including one operating power plant in Nevada and two in Iceland. About Plutonic Power Corp. Plutonic Power identifies, develops and operates clean power projects in a safe reliable and efficient manner. Plutonic Power strives to be a Canadian-based leader in clean power. Plutonic's principal operating facilities are the Toba Montrose Hydroelectric Project and the Dokie Wind Farm. These assets are held in partnership with GE Energy Financial Services of which Plutonic is the managing and operating partner. For more information, visit www.plutonic.ca The TSX Exchange does not accept responsibility for the adequacy or accuracy of this release.