The firms have entered into the transaction on 22 May 2012.

Under the terms of the deal, Blue Sky will purchase common shares of Windstorm in exchange for 8,000,025 common shares of Blue Sky.

Windstorm will now become a wholly-owned subsidiary of Blue Sky upon acquisition.

At the closing of the transaction, the agreement provides that Blue Sky will issue to each Windstorm shareholder, 0.38868 of a common share in the capital of Blue Sky in exchange for each Windstorm common share held by such shareholder.

The approval of Windstorm shareholders will be required as a condition to completing the transaction.

Shareholders will be asked to approve the transaction at a special meeting to be held on 28 June 2012.