Ezion buying 29.81% interest in JK Tech

OIL and gas firm Ezion Holdings is buying a 29.81 per cent controlling interest in Catalist-listed JK Tech Holdings in a deal which could eventually see Ezion take over JK Tech.

On Friday, information technology firm JK Tech announced that it intends to diversify into oil and gas exploration by issuing 42 million shares to Ezion at nine cents each, a 40 per cent discount to the volume weighted average price of 15 cents for trades done on April 1.

As payment, Ezion will issue about 1.85 million new ordinary shares at an issue price of $2.0445 per Ezion share, a 5 per cent discount to the volume weighted average price for trades done on April 4.