Tribute Buys Stake in Tocardo

Tribute Resources announced the purchase of a 46.5% stake in tidal and free-flow water turbines producer Tocardo International.

Tocardo, located in Den Oever, the Netherlands, together with Tribute, will be working to provide energy project development through site selection, feasibility studies, front end engineering design, business case development and financial and project engineering.

Tocardo owns the exclusive project development rights for 3 projects in the UK and the Netherlands having a combined potential of 24 MW.

The projects are expected to be installed over the next 3 years. The Tocardo technology will also be installed to develop the Minas Tidal Bay of Fundy site in 2017-2018 jointly with IME (50% owned by Tribute) and Tribute. Tribute is committed to working with the Tocardo team and have identified over 90 MW of projects for installation over the next 5 years, the company said.

Tribute has purchased all of the Huisman share interest, being 66.5 % of the outstanding Tocardo shares for consideration of EUR 100,000 plus an agreement by Tocardo to assume loans to Huisman totaling EUR 12 million over a 10 year period payable as a royalty on future turbine sales.

Furthermore, Tribute has made an agreement with Tocardo management for a redistribution to management of 20% of the shares in consideration for all past obligations owing to management in the amount of EUR 45,000 and an agreement with management to work with Tribute for a minimum period of 5 years to jointly execute the business plan. As such, the net shares being acquired by Tribute represent a 46.5% interest in Tocardo.