07:19 AM EDT, 03/15/2024 (MT Newswires) -- Loop Energy Inc. ( LPENF ) said Friday that H2 Portable Power Corp. is launching a $15 million private placement after they announced a planned merger in February.

The offering comprises up to 8,575,000 subscription receipts of H2 at $1.75 apiece. Each subscription receipt will consist one H2 share and one-half of an H2 warrant. Each warrant is exercisable at $2.00 per share for 36 months.

Each H2 share will be exchanged for Loop shares and H2 warrants will be converted to shares of the combined entity following the merger's close.

Proceeds will be used to fund ongoing operations, product and technology development for the combined entity, as well as for working capital and general corporate purposes.

H2 has engaged ATB Securities Inc. to act as lead agent and sole bookrunner in connection with the offering.

The offering is expected to close on or about April 3.

Loop gained 3.1% yesterday.