Summary
Quanta Services, Inc. (PWR) announced via press release on December 23, 2002, the completion of a significant financing transaction with First Reserve Fund IX, L.P. ("First Reserve"). This transaction involved First Reserve's purchase of 2,430,741 shares of Quanta's Series E Preferred Stock at $30.00 per share. This preferred stock, issued under agreements previously disclosed, carries a significant feature: upon stockholder approval, each share will be convertible into ten shares of Quanta's common stock. This event underscores Quanta's efforts to secure capital and potentially dilute its existing common stock structure, pending shareholder consent.
Key Highlights
- 1First Reserve Fund IX, L.P. purchased 2,430,741 shares of Series E Preferred Stock for $30.00 per share.
- 2The Series E Preferred Stock is convertible into ten shares of common stock per share, subject to stockholder approval.
- 3Stockholder approval for the convertibility is sought at a special meeting scheduled for December 27, 2002.
- 4This financing follows an earlier purchase by First Reserve of 8,666,666 shares of Quanta's common stock at $3.00 per share on October 15, 2002.
- 5The transaction is structured under a Securities Purchase Agreement and its amendments, previously filed with the SEC.
- 6No new financial statements or pro forma information are included in this 8-K filing; it primarily reports on a significant equity transaction.