Greenshift restructures debt

By | August 27, 2010
In June, Greenshift Corp. and YA Global Investments LP executed several agreements designed to reduce and restructure Greenshift's debt to YA Global. The companies formed a joint ventureYA Corn Oil Systems LLCinto which Greenshift will transfer up to five of its corn oil extraction facilities in exchange for a reduction of up to $11.7 million in convertible debt by YA Global. Greenshift will receive a 20 percent equity stake in the joint venture and will provide management services to the company in exchange for management and brokerage fees, as well as earnings-based performance bonuses paid in the form of up to an additional $6 million reduction in debt owed to YA Global.