Pacific Rubiales includes nominal cash in consideration for acquisition of C&C Energia in order to enhance bump

C&C Energia is spinning-off 95% of the shares of a newly-formed exploration subsidiary (Platino Energy), followed by an acquisition of all the C&C Energia shares by Pacific Rubiales in exchange for Pacific Rubiales shares (representing 7% of its shares in aggregate) and nominal cash consideration – so that no rollover treatment is available unless the C&C Energia shareholders make a joint s. 85 election with Pacific Rubiales. A likely reason for so limiting rollover treatment is enhancing the potential s. 88(1)(d) bump for capital property of C&C Energia.

Neal Armstrong.  Summary of C&C Energia Circular under Mergers & Acquisitions – Mergers.