Dear Central Iowa Energy, LLC Unitholder,Asset Purchase Agreement • May 26th, 2009 • Central Iowa Energy, LLC • Industrial organic chemicals
This letter is to inform you that Central Iowa Energy, LLC (CIE) has entered into an asset purchase agreement with Renewable Energy Group, Inc.® (REG®) to consolidate their respective operations under a newly formed holding company. The agreement provides for the sale of substantially all of CIE’s assets to a wholly-owned subsidiary of the holding company in exchange for shares of Common Stock and Preferred Stock in the new holding company. Certain liabilities of CIE will also be assumed by the entity that will be acquiring CIE’s assets. The agreement also contemplates that REG ® will merge into another wholly-owned subsidiary of the holding company, such that the ownership of CIE’s and REG’s® operations will be consolidated under a common ownership structure. Two other biodiesel plants, Blackhawk Biofuels, LLC and Western Iowa Energy, LLC, have also entered into similar agreements with REG® pursuant to which they will also participate in the consolidation through separate transactions
