Terra Energy & Resource Technologies, Inc. (TEGR) Announces Termination of the LOI with Purestone US INC

Rhea-AI Summary

On April 7, 2021, Terra Energy and Resource Technologies announced a binding letter of intent for a merger with Purestone US Inc. However, the agreement was amended to be non-binding on July 9, 2021, and was ultimately terminated on September 11, 2021. The termination was attributed to Purestone's failure to meet the closing conditions specified in the amended letter. Terra intends to pursue other merger or acquisition opportunities in the future.

Positive

• Terra continues to seek new merger or acquisition opportunities.

Negative

• Merger agreement with Purestone was terminated due to unmet closing conditions.
• The cancellation may lead to uncertainty in growth strategy and stock performance.

NEW YORK--(BUSINESS WIRE)-- On April 7, 2021, Terra Energy and Resource Technologies Inc. announced that it had entered into a binding letter of Intent for a prospective merger with Purestone US Inc. On July 9, 2021, the Letter of Intent was amended by agreement of both parties to be non-binding.

Effective September 11, 2021, Terra and Purestone mutually terminated the Letter of Intent. Terra’s decision to terminate resulted from inability of Purestone to satisfy the closing conditions set forth in the amended Letter of Intent.

Terra will continue to look for other merger or acquisition opportunities.

Safe Harbor for Forward-looking Statements

This press release contains forward-looking information within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the safe harbor created by those sections. There are many factors that could cause the Company's expectations and beliefs about its operations, services, plans, projects, and contracts, and its plans or proposals to acquire interests in, or participate in, exploration activities or properties, to fail to materialize, including, but not limited to, availability of capital, negotiation and execution of definitive agreements, satisfaction of contractual requirements, unfavorable geologic conditions, the amount of reserves projected or ultimately discovered, and general regional economic conditions.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210914005952/en/

Terra Energy & Resource Technologies, Inc.

212-286-9197

info@terrainsight.com

Source: Terra Energy & Resource Technologies, Inc.

FAQ

What happened to the merger between Terra Energy and Purestone?

The merger agreement was terminated on September 11, 2021, due to Purestone's failure to meet closing conditions.

What is the stock symbol for Terra Energy?

The stock symbol for Terra Energy is TEGR.

When was the letter of intent for the merger with Purestone signed?

The letter of intent was signed on April 7, 2021.

When was the letter of intent amended?

The letter of intent was amended on July 9, 2021, to become non-binding.

What are Terra Energy's plans after the merger termination?

Terra Energy plans to look for other merger or acquisition opportunities.