Taronis Technologies, Inc. announced the spin-off of Taronis Fuels, Inc.
July 14, 2019
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Taronis Technologies, Inc. (NasdaqCM:TRNX) announced the spin-off of Taronis Fuels, Inc. on July 15, 2019. As reported, all holders of Taronis Technologies' common stock will receive one share of Taronis Fuels common stock for each share of Taronis Technologies common stock owned on the record date and retained through the distribution date. The record date for distribution is set as August 15, 2019. As of September 30, 2019, it was announced that all holders of Taronis Technologies' common stock will receive five shares of Taronis Fuels common stock for each share of Taronis Technologies common stock.
Prior to the record date, Taronis Technologies plans to grant an exclusive, world-wide license to Taronis Fuels for the use of all intellectual property related to fuel and power-production applications generated with the Taronis Technologies' proprietary submerged Venturi Plasma Arc gasification technology and the related fuels, including MagneGas. Taronis Technologies would retain its entire intellectual property portfolio post-spin off, and would continue to actively seek to commercialize its agricultural waste, hospital waste, and cyanobacteria remediation technologies. Taronis Technologies will also continue to advance its Water Pilot business. In order to facilitate the intended spin off, Taronis Fuel intends to file the appropriate documentation with the SEC and market regulators to be a public company, which is expected to initially trade on the OTCQB/QX. The SEC filing would include audited financial statements for Taronis Fuels as a standalone business for 2017 and 2018, and reviewed financial statements for the first six months of 2019. In addition, a second quarter earnings call for Taronis Fuels is expected to be scheduled and held in conjunction with the filing. Taronis Technologies' Board of Directors has elected to execute the spin-off. The distribution date of common stock is anticipated to be approximately two weeks after the record date. As per disclosure on August 5, 2019, the deal is expected to close around September 1, 2019. As of September 20, 2019, the transaction is expected to complete in early November 2019. As of September 30, 2019, the record date is November 29, 2019. As of November 27, 2019, the share distribution date is December 5, 2019.
Taronis Fuels, Inc. is a renewable fuel and power generation company. The Company manufactures and distributes industrial, medical, specialty and beverage gases and associated welding and safety supplies through its subsidiary, MagneGas Welding Supply. The Company operates over 15 retail locations and two gas fill plants. The Companyâs gas fill plants create industrial, medical, specialty and beverage gas products that are distributed to its wholesale and retail customers. The Company also supplies its customers with products ranging from bulk quantities of cryogenic gases to individual packaged gas cylinders. The Company has a diversified customer base in both the wholesale and retail markets. The Company has the expertise, assets and sources of supply necessary to service large, bulk cryogenic gas customers as well as small one-man businesses.