Cielo Waste Solutions Corp (OTCMKTS:CWSFF) jumped 4% after announcing the closing of a CA$ 12 million loan and the fort of Saskatchewan Industrial site purchase. The company closed a 60acre industrial site acquisition in Fort Saskatchewan with a 31,750 sq. ft. industrial building.
Cielo announced that before the closing of the transaction and the loan completion, it repaid its current loan with CA$1 million in principal amount. The company’s management believes that it made considerable savings in the asset.
The property was developed in 2014/2015, with the previous owner spending CA$22 million on on-site building, graveling, and compaction of the whole yard that is fenced with lighting. There is also a sizeable building that Cielo can use for various purposes. Equally, Cielo purchased the property for $13 million, saving around C$9 million and construction costs. Besides the cost savings, the site is well prepared for the company to commence panning its waster to the fuel plant. So, in the coming weeks, investors should watch CWSFF.
Market Reaction:
On Friday, CWSFF stock gained 4.20% at $0.9274 with more than 682k shares, compared to its average volume of 691K shares. The stock has moved within a range of $0.8900 – 0.9525after opening the trade at $0.9010.
