Active Energy Group PLC Completion of agreement for the sale of Lumberton (9285Q)

TIDMAEG

RNS Number : 9285Q

Active Energy Group PLC

01 July 2022

The information contained within this announcement is deemed by the Company to constitute inside information for the purposes of Regulation 11 of the Market Abuse (Amendment) (EU Exit) Regulations 2019/310.

Active Energy Group Plc / EPIC: AEG / Sector: Alternative Energy

1 July 2022

Active Energy Group Plc

("Active Energy", "AEG" or the "Company")

Completion of the sale and purchase agreement for the sale of the Lumberton site

Active Energy, the London quoted international biomass based renewable energy business, is pleased to announce it has completed the sale and purchase agreement for the sale of its Lumberton site in North Carolina (the "Lumberton Site"), following completion of due diligence by the purchaser and the negotiation of final terms. The purchaser is Phoenix Lumberton Industrial Investors LLC, a company owned by Phoenix Investors LLC, a US-based commercial real estate firm, whose core business is the revitalisation of former manufacturing facilities throughout the United States.

The gross consideration for the Lumberton Site is $4.65 million, before the deduction of deferred maintenance fees and transaction expenses.

The sale of the Lumberton site was announced on 31 March 2021.

Principal terms of the transaction

-- Sale of the Lumberton Site for $4.65 million (before deferred maintenance fees and transaction expenses) to Phoenix Lumberton Industrial Investors LLC.

-- After the deduction of deferred maintenance fees for the Lumberton Site, Active Energy will receive $ 4.2 million.

-- After deduction of transaction expenses, Active Energy will receive net cash proceeds of $3.92 million, receipt of which is due within the next 7 working days.

-- Net book value of the Lumberton Site at 31 December 2021 was $4.29 million. The site was acquired by AEG in March 2019 for a consideration of $3.33 million.

Michael Rowan, CEO of Active Energy, said:

"We are pleased to report the completion of the sale of Lumberton and of the forthcoming receipt of funds. I would like to thank the team at Lumberton for all their hard efforts in recent months to ensure the successful completion of the sale at the Lumberton Site."

ENDS

 
 Enquiries 
 Active Energy Group       Michael Rowan (Chief               [e-mail] 
  Plc                       Executive Officer) 
                            Andrew Diamond ( Chief 
                            Financial Officer) 
 Allenby Capital Limited   Nick Naylor / James              Office: +44 (0)20 
  Nominated Adviser         Reeve / Freddie Wooding                 3328 5656 
  and Sole Broker           (Corporate Finance) 
                            Amrit Nahal (Sales/Corporate 
                            Broking) 
 Camarco                   Georgia Edmonds / Tom            [e-mail] 
  Financial PR Adviser      Huddart / Emily Hall            Office: +44 (0)20 
                                                                    3757 4980 
 

About Active Energy Group:

Active Energy Group plc is a London listed (AIM: AEG) renewable energy company focused on the production and development of next generation biomass products that have the potential to transform the traditional coal fired-power industry and existing renewable biomass industry.

The Company has developed a proprietary technology which transforms waste biomass material into high-value renewable fuels. Its patented product CoalSwitch(R) is a leading drop-in renewable fuel that can be co-fired with coal, completely replace coal as an alternative feedstock without requiring significant plant modifications or replace existing biomass feedstock resources. Active Energy's immediate strategic focus is the production and commercialisation of CoalSwitch(R) and further CoalSwitch(R) fuel blends that utilise other waste wood and residual materials.

CoalSwitch(R) is a registered trademark belonging to Active Energy Group plc.

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July 01, 2022 02:00 ET (06:00 GMT)