4 Sep 2017 12:55
Aggregated Micro Power Holdings plc
("AMP", the "Group" or the "Company")
Acquisition of wood pellet assets and customer base from CPL Distribution Limited
Aggregated Micro Power Holdings plc (AIM: AMPH), a distributed energy company specialising in the sale of wood fuels and the financing and installation of distributed energy projects including biomass boiler ESCOs (Energy Supply Contracts), stand by power generation and battery storage facilities, is pleased to announce that it has today completed the acquisition of the wood pellet assets and customer base of CPL Distribution Limited ("CPL") for cash consideration of £485,000, to be financed from AMP's existing cash resources (the "Acquisition").
In the year ended 31 March 2017, CPL's wood pellet customer base delivered revenue of £5.1 million (unaudited). AMP is acquiring a customer base and assets which have been part of CPL's wider fuels distribution business. In AMP's audited results for the year ended 31 March 2017, the wood fuel operating segment, Forest Fuels, reported revenue of £15.8 million and profit from operations of £426,000; on a historical pro forma basis, an additional £5.1 million of turnover would equate to an additional profit from operations of £137,500. No statement in this announcement is intended to be a profit forecast or estimate and no statement in this announcement should be interpreted to mean that earnings per share of the Company for the current or future financial years would necessarily match or exceed the historical published earnings per share of the Company. In addition to the customer base, the assets acquired relate to vehicles and machinery. Eight members of CPL staff are joining AMP.
Richard Burrell, Chief Executive of Aggregated Micro Power Holdings plc, said:
"CPL has built a strong and well-regarded business in the wood pellet market in England over the last five years, with approximately 1,200 customers. The Acquisition is in line with AMP's strategy to expand Forest Fuels with strategic in-fill acquisitions to build on its existing customer base in the wood fuels market."
Contacts
Aggregated Micro Power Holdings plc | 020 7382 7800 |
Neil Eckert, Executive Chairman Richard Burrell, CEO Helene Crook, Investor Relations
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Haggie Partners Peter Rigby / Brian Norris
| 020 7562 4444 |
finnCap Ltd Ed Frisby/Simon Hicks (Corporate Finance) Stephen Norcross (Corporate Broking) |
020 7220 0500 020 7220 0513
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About Aggregated Micro Power Holdings plc
The AMP Group was established to develop, own and operate renewable energy generating facilities. It specialises in the sale of wood fuels and in the installation of distributed energy projects. AMP's wholly owned subsidiary Forest Fuels sells high quality wood chip and wood pellet to end customers throughout the UK, while its projects division installs biomass boiler and biomass CHP systems for a wide range of applications and customers. AMP is also active in developing projects for stand-by power generation and battery storage facilities which aim to balance the transmission grid at times of peak demand. www.ampplc.co.uk
The information communicated in this announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014.