REC Silicon entered into a settlement with Grant County, Washington on Wednesday in a property tax dispute for their Moses Lake facility from 2012 through 2015, a stock exchange release said.
REC will now, as part of the settlement, pay Grant County $ 3 million by December 15, and $ 1.75 million annually for the next six years.
The settlement is expected to reduce REC’s total debt by $ 17.6 million, and will have a positive non-cash EBITDA effect of $ 16 million in the third quarter of 2020.
Billion share issue
On Wednesday afternoon, REC announced that they would raise one billion kroner, and on Thursday night came the news that the issue has been “significantly oversubscribed”.
The issue was made by placing 92.6 million new shares at a price of NOK 10.80.
The net proceeds will be used to fund expansion at the company’s facilities in Moses Lake and Butte, as well as general corporate purposes.
On Wednesday, the share closed at NOK 11.38, which gives the company a market value of almost NOK 3.2 billion.