REG - Active Energy Group - Completion of agreement for the sale of Lumberton

Active EnergyAnnouncement

01/07/2022 07:00

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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 Plc             Michael Rowan (Chief Executive Officer)                            info@aegplc.com

                                     Andrew Diamond (Chief Financial Officer)

 Allenby Capital Limited             Nick Naylor / James Reeve / Freddie Wooding (Corporate Finance)  Office: +44 (0)20 3328 5656

 Nominated Adviser and Sole Broker   Amrit Nahal (Sales/Corporate Broking)

 Camarco                             Georgia Edmonds / Tom Huddart / Emily Hall                       aeg@camarco.co.uk (mailto:aeg@camarco.co.uk)

 Financial PR Adviser                                                                                 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® 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® and further CoalSwitch® fuel blends that
utilise other waste wood and residual materials.

 

CoalSwitch® is a registered trademark belonging to Active Energy Group plc.

 

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