October 31, 2008 / 12:02 AM / 12 years ago

CORRECTED - Ballard get finance deal with Superior Plus fund

(Corrects to insert new paragraph 4 to show company will operate under the same name)

VANCOUVER, British Columbia, Oct 30 (Reuters) - Fuel cell developer Ballard Power Systems BLD.TO will get C$41 million in cash under a deal that will see it transfer tax losses to the Superior Plus Income Fund SPF_u.TO.

Ballard will transfer its assets and liabilities, including the C$41 million payment from Superior, to a newly created company controlled by Ballard’s current shareholders.

Superior will then take ownership of old Ballard company, which will retain about C$800 million in Canadian tax losses that can be used against its taxable income.

Ballard chief executive John Sheridan said the company would use the same name in its new structure, adding that the “benefit of additional cash ... gives us a significant financing position for the long term.”

The deal will also mean Ballard will not have to go to public markets for financing for the foreseeable future, the company said.

Superior, which has several operational units including Canada’s largest propane distributor, has asked regulators for permission to covert itself from a trust fund to a corporation. (Reporting Allan Dowd)

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