|6 Months Ended|
Sep. 30, 2020
|Subsequent Events [Abstract]|
(a) On October 19, 2020, the Company entered into a Share Purchase Agreement for the acquisition of a 100% interest in Innoenergy Limited (“Innoenergy”). Innoenergy is a designer of battery energy storage systems registered in the United Kingdom. Consideration consists of 525,000 common shares of the Company (approximately $577,500), payment of £25,000 (approximately $32,500) to a selling shareholder on completion of the transaction, and an equal amount when Innoenergy achieves battery storage sales equivalent to 50 megawatts.
In connection with the acquisition, Innoenergy will adopt the name Pacific Green Innoenergy Technologies Limited and continue as a wholly owned subsidiary of Pacific Green Technologies Inc.
As a further condition of the acquisition, the Company will make available to Innoenergy a working capital credit facility of £350,000 (approximately $455,000). Also, the common shares of the Company issued to the sellers are subject to sales volume restriction of 65,625 shares per calendar quarter.
Due to the closing date of the acquisition just after the Company’s financial reporting period, we have been unable to gather reliable financial information for the acquired companies to present the proforma disclosures and operations of the Company and the acquired businesses in accordance with US GAAP. The goodwill paid as part of the acquisition is expected to be tax deductible.
(b) On October 16, 2020, Mr. Alexander Shead resigned as a Director of the Company. Mr. Shead resigned due to restrictions on travel caused by Covid-19 impacting his ability to perform his executive functions. There has been no disagreement with the Company regarding its operations, policies, practices or otherwise. Mr. Shead continues to be a significant shareholder in the Company. As a bonus for his past service, the Company will issue to Mr. Shead 100,000 shares of the common stock.
Tabular disclosure of significant events or transactions that occurred after the balance sheet date through the date the financial statements were issued or the date the financial statements were available to be issued. Examples include: the sale of a capital stock issue, purchase of a business, settlement of litigation, losses resulting from fire or flood, losses on receivables, significant realized and unrealized gains and losses that result from changes in quoted market prices of securities, declines in market prices of inventory, changes in authorized or issued debt (SEC), significant foreign exchange rate changes, substantial loans to insiders or affiliates, significant long-term investments, and substantial dividends not in the ordinary course of business.
Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef