UK's VivoPower to combine with Canadian hydrogen technology firm in $1.13 bln deal

VivoPower

17/09/2024 14:52

Sept 17 (Reuters) - Power infrastructure developer
VivoPower International  VVPR.O  said on Tuesday it has signed a
non-binding agreement to merge with Canada's Future Automotive
Solutions and Technologies (FAST), which would create a $1.13
billion combined company.
    The agreement values VivoPower's equity at $556 million and
FAST at $578 million, and allows the companies an exclusive
period of 90 days to reach a definitive agreement, U.K.-based
VivoPower said.
    Shares of VivoPower were down 2.3% in early trading after
the deal with FAST, which converts traditional internal
combustion engine vehicles to run on hydrogen.
    A key condition for the deal is the completion of a $904
million merger between VivoPower's unit, Tembo E-LV, and blank
check firm Cactus Acquisition  CCTS.O , VivoPower said. 
    Tembo specializes in electric-battery and off-road vehicles
for sectors including mining, utilities, infrastructure,
government services and humanitarian aid.
     

 (Reporting by Sourasis Bose in Bengaluru; Editing by Shinjini
Ganguli)
 ((Sourasis.Bose@thomsonreuters.com;))