Renegy would NOT have dealt with LLEG
You left out a possibility or few...
Note the original agreement was all stock. This has a mix of cash and stock.
The Renergy facility sits on leased land, with an option to buy. From memory it's about $300K per year.
My guestimate was total Renergy money tied up in Susanville was approx. $3.5M If LLEG offered Renergy $3M or a huge part of the transaction in cash, then Renergy would have most of its investment back, and be out from under paying the lease. The preferred stock Renergy received could also be structured such that in case of bankrupcy or liquidation by LLEG, Renergy gets to stand at the front of the line ahead of the Bart gang, and behind creditors for its remaining money.
So how much cash was paid to Renergy? Unknown. Is the preferred stock offered to Renergy convertible, or will Renergy insist on divy payments? Unknown. Yet again one sees a transaction kept secret by management. Was this cash onhand or borrowed against a stockholder liability? Where's the 10Q Bart?
The positive out of this - the company is still twitching. It's still capable of carrying out a transaction, which it may have been legally obligated to do.