Rain Commodities - Sale of stake in GLC Carbon USA Inc ("GLC") by Rain Commodities (USA) Inc (WOS)

With reference to the earlier announcement dated March 03, 2006 regarding Rain Commodities (USA) Inc., (RCUSA), wholly owned subsidiary of the Company has acquired AIP / GLC Holdings, LLC ("AIP/GLC") from American Industrial Partners Capital Fund II, L.P. ("AIP") for an aggregate purchase price of approximately Cdn $123.2 million in cash. As a result of the transaction, RCUSA beneficially owns and controls approximately 20.22% of the outstanding equity of GLC Carbon USA Inc. ("GLC"). The name of AIP / GLC has been subsequently changed RAIN / GLC Holdings, LLC ("RAIN/GLC"). This equity stake continues to be directly held by RAIN/GLC.

As a result of its acquisition, RCUSA beneficially owns and controls approximately 9,324,327 "stapled interests" (each consisting of one share of GLC common stock and a corresponding principal amount of Cdn $6.86 of the 16% promissory note due August 12, 2013 issued by GLC Securityholder LLC) and approximately 1,029,974 additional shares of GLC Class B common stock, all of which continue to be owned directly by RAIN / GLC. The acquisition price was Cdn $11.99 per stapled interest, Rain Commodities Ltd has announced that on April 13, 2007, RCUSA has concluded the sale of 9,324,327 - 16% Promissory notes at a price of Cdn $6.86. RCUSA has also confirmed to Oxbow GLC Canada Acquisition ULC., of its intention to sell the entire GLC Common Stock / Shares held by it at a price of Cdn $7.14 in cash per Share.

The stock closed down by Re.0.40 or 0.36% at Rs.110.05 on volume of 19569 shares compared to 2 week average of 26998. The stock hit an intraday high of Rs.112.25 and low of Rs.108.10.

Source : Equity Bulls

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