Last checked at 22 Mar 2022 09:45
RNS
22nd March 2022
SIMEC ATLANTIS ENERGY LIMITED("SAE", the "Company" and, together with its subsidiaries, the "Group")
SAE signs Heads of Terms to progress Uskmouth Sustainable Energy Park
SAE is continuing to progress the development of the Uskmouth site into a sustainable energy park. To facilitate this, SIMEC Group, a c.29.7% shareholder in the Company and which sold the Uskmouth project to SAE, has agreed to provide the necessary consents for such development pursuant to rights that it holds under a lease on land at Uskmouth and under a debenture for an existing £2 million convertible loan from SIMEC Group to SAE.
SAE has entered into a Heads of Terms with the SIMEC Group, which commit SAE to establishing a SPV, owned 85% by SAE and 15% by the SIMEC Group, which will hold the land and assets required to progress sustainable energy projects at the Uskmouth site. An agreement will be put in place providing for a share of revenue from any projects realised at the site in accordance with the SPV shareholding percentage and for full step-in rights for either party in the event of insolvency of the other party.
SAE understands that the SIMEC Group (via SIMEC UK Energy Holdings Limited) owns approximately 29.7% of the issued share capital of SAE. As a result, pursuant to AIM Rule 13, the entry into the agreement described above will be deemed a related party transaction. The Directors of SAE (all of whom are independent for these purposes) consider, having consulted with SAE's Nominated Adviser, Investec Bank plc, that the terms of the agreement are fair and reasonable insofar as the shareholders of SAE are concerned.
For more information please contact:
SIMEC Atlantis Energy Limited | +44 (0) 7739 832 446 |
Sean Parsons, Director of External Affairs |
|
Investec Bank PLC - NOMAD and Joint Broker | +44 (0) 20 7597 5970 |
Jeremy Ellis Ben Griffiths | |
Arden Partners PLC - Joint Broker |
+44 (0) 20 7614 5900 |
Ruari McGirr Richard Johnson Simon Johnson
|
Notes to Editors
SIMEC Atlantis Energy
SAE is a global developer, owner and operator of sustainable energy projects with a diverse portfolio in various stages of development. This includes a 77 per cent. stake in the world's largest tidal stream power project, MeyGen, and 100 per cent. of the 220MW Uskmouth Power Station conversion project.
https://www.simecatlantis.com/
More on the MeyGen Project: https://simecatlantis.com/projects/meygen/
More on the Uskmouth Project: https://simecatlantis.com/project-development-operation/simec-uskmouth-power/