Rain Commodities Updates on American Subsidiary

Rain Commodities Ltd has announced that in March 2006, the Company through its wholly owned subsidiary Rain Commodities (USA), Inc., (RCUSA) acquired 100% of the membership interests of AIP/GLC Holdings, LLC from American Industrial Capital Partners II, L.P., that in turn holds shares constituting 20.23% of the equity of GLC Carbon USA, Inc (GLC). GLC is the world's largest producer of Calcined Petroleum Coke (CPC) with four production units, of which one is in Argentina and the remainder are in the Southern United States (Louisiana, Oklahoma & Texas) having a combined installed capacity of 2.45 Million tons per annum.

Further the Company has informed that, RCUSA has been participating in discussions with the Fund regarding the prior acquisition of 20.23% ownership interest of GLC by RCUSA. In particular, these discussions have focused upon competitive, governance and other material implications of RCUSA's indirect ownership interest in GLC. In addition, more recently the Fund, GLC and RCUSA have been discussing potential acquisition and strategic transactions. The terms of any potential transaction have not been determined and there is no assurance that a transaction will result.

Source : Equity Bulls

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