IPSA Group PLC Board Changes and Update re Settlement of Funds (5751U)

TIDMIPSA

RNS Number : 5751U

IPSA Group PLC

30 July 2015

30 July2015

IPSA Group PLC

("IPSA" or the "Company")

Board Changes and Update re Settlement of Funds

The Directors of IPSA, the owner, operator and developer of power generation capacity in South Africa, announce the resignation of its Acting CEO, Peter Earl, and Finance Director, Elizabeth Shaw. Mark Otto, the Chief Operating Officer, has been appointed as new Acting CEO for an interim period. The resignations follow discussions with Rurelec PLC, which is now in funds to pay part of the monies owed by it to IPSA and in particular make payment on IPSA's behalf of the initial amount now due to Ethos Energy of EUR2.85 million by 31 August 2015. A further sum of EUR2.6m is due to Ethos Energy by 30 September 2015. IPSA is in discussion with Radix Investments Limited in relation to either an extension or a refinancing of the loan of GBP500,000 and interest owed under that loan. Rurelec has also agreed to pay shortly a further sum of GBP300,000 to IPSA with the remaining balance of approximately GBP585,000 owed by Rurelec to be paid thereafter.

Negotiations are also continuing also with potential black economic empowerment (BEE) partners at Newcastle Cogeneration Pty Limited as previously announced.

Speaking today, Peter Earl said: "I am honoured to have been on the Board of IPSA since its inception. I leave the Board as planned now that the initial payment to Ethos Energy is assured."

Commenting on the resignations, Richard Linnell, Chairman of IPSA, said: "I thank Elizabeth and Peter for their hard work over the years in challenging circumstances."

The Board intends to make further Director appointments in due course.

For further information contact:

 
 
 
   James Joyce / James Bavister      [phone] 
   W H Ireland Ltd                   1666 
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   Riaan van Heerden, 
   PSG Capital (Pty) Ltd             [phone] 
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This information is provided by RNS

The company news service from the London Stock Exchange

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