REG - Chariot Limited - Strategic Review of Transitional Power Division

ChariotAnnouncement

18/03/2024 07:00

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RNS Number : 1408H  Chariot Limited  18 March 2024

 

 

 

18 March 2024

 

Chariot Limited

("Chariot" or "the Company" or the "Group")

 

Strategic Review of Transitional Power Division

 

Chariot Limited (AIM: CHAR), the Africa focused transitional energy group,
announces that following detailed discussions with the Board, management, and
advisors, it is undertaking a strategic review of Chariot's Transitional Power
division ("Transitional Power"). Transitional Power focuses on providing
sustainable power and water solutions in Africa, which includes renewable
energy generation projects and electricity trading.

 

Since 2020, Chariot has built a transitional energy group spanning natural
gas, renewables, and green hydrogen. As these divisions have grown, they have
increasingly attracted different pools of capital and Transitional Power,
which is now focused on the South African energy market, requires funding in
the near and medium term to fulfil its potential. Management has been
progressing debt and equity financing options at the subsidiary level and has
received indications of potential interest from South Africa focused investors
to fund the Transitional Power business. Whilst there is no certainty that a
funding package will be concluded, management has elected to undertake this
review to explore the options available to the Company, which may involve a
full or partial sale or demerger of the Transitional Power business or the
division remaining part of the Chariot group, with the aim of the strategic
review to maximise value for Chariot's shareholders.

 

Chariot's Green Hydrogen division will remain part of the Group and management
continues to progress financing options at the subsidiary level.

 

Whilst there is no guarantee that this strategic review will result in a
transaction, management will continue to consider all options and the Company
will provide further updates as required.

 

Adonis Pouroulis, CEO of Chariot:

 

"I am very proud of our work across our Transitional Power division and wider
business over the past three years. In light of the impending funding
requirements needed to deliver projects from the portfolio, we believe that
launching this strategic review is in the best interests of all stakeholders
as we look to realise value from this division whilst enabling it to continue
its ongoing growth and development.

 

This review comes at a time of renewed focus on our near-term natural gas
development assets in Morocco with the medium-term ambition of returning
capital to shareholders from gas revenues."

 

 

Enquiries

 

 Chariot Limited                                              +44 (0)20 7318 0450

 Adonis Pouroulis, CEO

 Julian Maurice-Williams, CFO

 Cavendish Capital Markets Limited (Nomad and Joint Broker)   +44 (0)131 220 9778

 Derrick Lee, Adam Rae

 Stifel Nicolaus Europe Limited (Joint Broker)                +44 (0) 20 7710 7760

 Callum Stewart, Ashton Clanfield
 Celicourt Communications (Financial PR)                      +44 (0) 20 7770 6424

 Mark Antelme, Jimmy Lea

 

NOTES FOR EDITORS:

 

About Chariot

 

Chariot is an Africa focused transitional energy group with three business
streams, Transitional Gas, Transitional Power and Green Hydrogen.

 

Chariot Transitional Gas is focused on high value, low risk gas development
projects in Morocco, a fast-growing emerging economy, with a clear route to
early monetisation, delivery of free cashflow and material exploration upside.

 

Chariot Transitional Power is focused on providing competitive, sustainable
and reliable energy and water solutions across the continent through building,
generating and trading renewable power.

 

Chariot Green Hydrogen is partnering with TEH2 (80% owned by TotalEnergies,
20% by the EREN Group) and the Government of Mauritania on the potential
development of a 10GW green hydrogen project, Project Nour in Mauritania, and
are progressing pilot projects in Morocco.

 

The ordinary shares of Chariot Limited are admitted to trading on the AIM
under the symbol 'CHAR'.

 

 

 

 

 

 

 

 

 

 

 

 

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