Replies to post #69233 on Laidlaw Energy Group, Inc.(fka LLEG)

[HLH]

BBF1, hopfully this is the case. No reason for MBB to enter into such deal if odd is against him....

" The answer was staring us in the face but we couldn't see the branches through the trees, lol. What do companies do when they buy another company, or merge, without cash changing hands? If you look at the top of the NEW organizational chart you will see where LLEG comes into play.
NewCo Energy, LLC, a Special Purpose Entity (SPE) set up for this project will become a partly owned by LLEG thanks to a stock transaction. LLEG will partly own NewCo Energy. This is the only answer that makes sense spending several hours this evening reviewing the revised organizational chart and the amended testimony of MBB. Were it not for the lawyers building layers upon layers for asset and liability protection this would've been so much easier to figure out, but todays litigous world, you know what I mean?"

[kendanzig]

Good Morning All. BBFL thanks for your insight on the reorganization. I am sure Mike had a good reason for doing this. I do not think anything has changed for us. IMO

[skennedy2005]

Hi BigBucksFL, I really hope you are right. Per the revised Apppendix A, it states NewCo Energy LLC is owned members of Accenture (The private equity partner). Hopefully we have an interest in NewCo but for whatever reason it was left off the appendix

[Sam Dan]

Thanks Big Bucks-Finally some sense on these thread,
THE Newco TRANSACTION WAS A LEGAL MANEUVER TO PROTECT LLEG AND THE BERLIN PROJECT FROM ANY LIABILITY EXPOSURE ON ANY SUBSEQUENT DEALS THAT LLEG IS INVOLVED WITH [EG, MASS PROJECT].
IT PUTS UP A WALL OF PROTECTION FROM ANY PROBLEMS THAT MAY OCCUR WITH ANY OTHER LLEG PROJECTS.
I CAN SEE THAT ANOTHER COMPANY MAY BE INTRODUCED ON EACH SUBSEQUENT DEALS BUT LEAVE THAT TO THE LAWYERS.
MAIN THING IS 1-LLEG STILL MAINTAINS ITS 37.5 INTEREST IN BERLIN AND 2
ALL WILL BE MADE CLEAR ONCE PERMIT IS GRANTED

[Matilda007]

Even if LLEG sold out, it would be an asset sale, and that would revert back to LLEG shareholders. There is no way a company can sell an asset, and the CEO/owners keep the returns, the assets are the company, and shore holders has a vested interest in those assets, win lose or draw.

But I agree with bigbucks, this is merely organising to protect/shield LLEG and future endeavors from litigation.