CDN-listed Initiative Explorations has bought a 12% interest in Riba Corp., a Delaware-based chemical company. The price: US$200,000.
Initiative plans to provide Riba, which is operating on a break-even basis, with US$700,000 for an immediate plant expansion and working capital. The private company produces lactic acid derivatives and recently began production of non-toxic and biodegradable specialty chemicals for use in the electronics, flavor and fragrance industries.
Initiative, once an active base metal explorer, has negotiated an option to buy the remaining 88% of Riba’s common shares in exchange for 880,000 of its own shares. Robert Rau has been appointed executive vice-president and will be responsible for the chemical business.
Be the first to comment on "Initiative buys chemical business"