REG - Sabien Technology - Proton Technologies

Sabien TechnologyAnnouncement

26/09/2023 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230926:nRSZ5869Na&default-theme=true

RNS Number : 5869N  Sabien Technology Group PLC  26 September 2023

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF REGULATION
11 OF THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS 2019/310.

26 September 2023

 

Sabien Technology Group plc

("Sabien", the "Company" or the "Group")

 

Proton Technologies

 

Sabien Technology Group plc (AIM:SNT), the company focused on a green
aggregation strategy, today announces that it has reviewed the value of its
investment in Proton Technologies Canada Inc., ("Proton") following the
proposed investment in and restructuring of Proton.

 

On 14 October 2021, Sabien invested £100,000 in Proton, giving the Company a
0.08% shareholding. Subsequently, Sabien entered into a licensing agreement
with Proton on 1 February 2022. This agreement allowed Sabien to deploy
Proton's technology within the UK and the right to install a plant for the
City Oil Field, Inc. plastic to oil technology on Proton's Saskatchewan site.
Sabien retains the rights conferred by this licensing agreement.

 

On 8 September 2023, Proton informed its shareholders that it had received a
proposal from a third party to inject new capital, restructure its balance
sheet, and reform its management team (the "Proposal"). The Proposal
remains subject to shareholder approval.

 

Following a review of the Proposal and ahead of approval by Proton
shareholders, the Board of Sabien has concluded that the value of the
Company's stake (£100,000) may require a material impairment provision in
the accounts for the financial year to 30 June 2023. The Board expects that
this provision will allow for a potential material diminution in the value
of existing Proton equity to reflect the notional value of Proton ascribed by
the Proposal. The level of provision will require agreement with the Company's
auditors as part of the current audit process. Details of the provision, if
any, will be provided in the Company's final results which are expected to be
published in October 2023.

 

Richard Parris, Executive Chairman of Sabien, commented:

 

"While it is disappointing to provide for a possible short-term reduction in
Proton's equity value, the Board is encouraged by the constructive details of
the Proposal. It is clear that Proton requires a larger capital base from
which to develop its leading hydrogen technology and we are supportive of the
intention to re-balance the business. It remains to be seen as to the outcome
of this Proposal, but Sabien is intent on a prudent approach to its balance
sheet and the values contained within it."

 

 For Further Information:

 Sabien Technology Group plc                           +44 20 7993 3700

 Richard Parris, Executive Chairman                    Scott.fulton@sabien.com

 Scott Fulton, Investor Relations

 Allenby Capital Limited (Nominated Adviser)

 John Depasquale / Nick Harriss / Vivek Bhardwaj       +44 203 328 5656

 Peterhouse Capital Limited (Broker)

 Duncan Vasey / Lucy Williams                          +44 207 469 0930

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  TSTBLGDCCSDDGXU