Houston American Energy Corp Enters Share Exchange Agreement for Renewable Energy Acquisition

Houston American Energy Corp. (NYSE American: HUSA) announced that on February 20, 2025, it entered into a share exchange agreement with Abundia Financial, LLC and Bower Family Holdings, LLC—the unitholders of Abundia Global Impact Group, LLC (AGIG). Under the agreement, HUSA will acquire all of AGIG’s outstanding units in exchange for issuing new shares amounting to 94% of its total outstanding common stock at closing, subject to stockholder approval and customary closing conditions.

Upon completion of the share exchange, AGIG is set to become a wholly owned subsidiary of HUSA while the Company’s common stock remains listed on the NYSE American. The terms of the agreement also require HUSA to use commercially reasonable efforts to implement a reverse stock split, at a ratio determined by its board of directors, to ensure compliance with the exchange’s listing standards.

In a press release dated February 24, 2025—incorporated by reference in the filing—HUSA highlighted that the acquisition supports its strategic initiative to diversify its portfolio and deepen its footprint in the renewable energy sector. The transaction will provide HUSA with a ready-made platform that features AGIG’s focus on converting waste into high-value fuels and chemicals. In addition, AGIG is preparing to construct its first advanced plastic recycling facility in Cedar Port, Texas, marking the initial phase of a five-year, capital-efficient growth plan.

Houston American Energy CEO Peter Longo noted that the acquisition positions the Company to leverage opportunities in the renewable energy market, including emerging segments such as sustainable aviation fuels and recycled chemical alternatives. As part of the integration process, AGIG’s Chief Executive Officer, Edward Gillespie, will be appointed to HUSA’s board and will enter into the Company’s standard director indemnification agreement.

The transaction is subject to regulatory approvals, the fulfillment of closing conditions, and endorsement by HUSA stockholders. Forward-looking statements made in connection with the acquisition caution that various risks and uncertainties, including market fluctuations, regulatory hurdles, and business integration challenges, could cause actual results to differ materially from current expectations.

Investors are advised to review the complete details filed in the Company’s Current Report on Form 8-K and related documents available through the SEC’s website.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Houston American Energy’s 8K filing here.

About Houston American Energy

Houston American Energy Corp., an independent oil and gas company, engages in the acquisition, exploration, exploitation, development, and production of natural gas, crude oil, and condensate. Its principal properties are located primarily in the Texas Permian Basin, the South American country of Colombia, and the onshore Louisiana Gulf Coast region.