“The company does not have operating capital right now, and we’re looking at ways to restructure it and move forward,” Hydrovolts president and chief operating officer Mike Layton tells Xconomy. “There’s a deal on the table, but it hasn’t been finalized and it hasn’t gone out to shareholders” for approval.
That deal Layton refers to would involve a Hydrovolts debt holder buying the company’s assets, including the intellectual property behind its turbines for use in industrial waterfalls and irrigation canals. “Their plan is to go forward—restructure, recapitalize the company—and go forward with the current products as soon as possible,” Layton says, declining to identify the debt holder.
He says a deal could be finalized in mid-March.
Layton also confirmed that co-founder and former CEO Burt Hamner has left the board of directors. Layton was promoted to president last fall after Hamner stepped down as chief executive.
Read the full story at the source: Ben Romano, Xconomy, February 20, 2013.