Brief: Leclanche Says Strategic Company Reorganization Along With Industrial Partnership Agreement With Eneris Group

Leclanche SA

01/06/2020 23:12

June 1 (Reuters) - Leclanche Sa  LECN.S :
    * STRATEGIC COMPANY REORGANIZATION ALONG WITH INDUSTRIAL
PARTNERSHIP AGREEMENT WITH ENERIS GROUP
    * ENERIS GROUP TO MAKE DIRECT INVESTMENTS TOTALING UP TO CHF
95
MILLION IN TWO MANUFACTURING JVS AND A TECHNOLOGY LICENSE
AGREEMENT
    * ENERIS TO PROVIDE UP TO CHF 42 MILLION IN WORKING CAPITAL
LOANS
    * LECLANCHÉ SHALL RETAIN ALL CUSTOMER CONTRACTS UNCHANGED
    * LECLANCHE- ENERIS TO MAKE INVESTMENTS IN EXCESS OF CHF 53
MILLION IN A MAJOR CAPACITY EXPANSION PROGRAMME IN NEWLY
ESTABLISHED JV WITH MAJORITY OWNERSHIP
    * LECLANCHÉ GRANTS A LICENSE TO ENERIS FOR FURTHER
DEVELOPMENT AND
ACCESS TO LARGER SCALE INDUSTRIALIZATION
    * MATERIAL REDUCTION FOR LECLANCHÉ IN CASH INTENSITY OF
BUSINESS:
REDUCED OPERATING AND CAPITAL EXPENSES
    * LECLANCHÉ WILL RETAIN FULL OWNERSHIP OF ITS TECHNOLOGY AND
WILL
CONTINUE TO INVEST IN RESEARCH & DEVELOPMENT
    * LICENSING OF LECLANCHÉ'S TECHNOLOGY TO ENERIS AGAINST
PAYMENT OF
A ROYALTY FEE OF UP TO CHF 32 MILLION

Source text for Eikon:  ID:nEQ6msmyba 
Further company coverage:  LECN.S 

 ((Reuters.Briefs@thomsonreuters.com;))