The information contained in this announcement is inside information under the Market Abuse Regulation (EU) No 596 / 2014. The person responsible for arranging the release of this announcement on behalf of SIMEC Atlantis Energy Limited is Tim Cornelius, Chief Executive Officer of SIMEC Atlantis Energy Limited.
18 June 2019
SIMEC ATLANTIS ENERGY LIMITED
(“Atlantis” or the “Company” “)
Update on the proposed acquisition of Green Highland Renewables
Atlantis provides the following update further to the announcements made on 23 November 2018 and 28 March 2019 regarding its conditional purchase of the Green Highland Renewables (“GHR”) portfolio of Scottish hydro schemes from its largest shareholder SIMEC Energy (“SIMEC”).
After assessing the financing options available to purchase GHR, the independent Board Directors of Atlantis have now determined that an alternative transaction structure in relation to GHR would be in the interests of shareholders and therefore will not be proceeding with the acquisition of GHR as previously envisaged.
Atlantis confirms that it is in ongoing discussions with SIMEC, a third-party infrastructure fund and project financiers in relation to an alternative transaction structure to allow Atlantis to deliver on its mandate of creating shareholder value through the development of high value sustainable power generation projects throughout the UK and abroad. Further updates will be provided when appropriate. There can be no guarantee that any transaction in relation to GHR will reach a conclusion.
SIMEC Atlantis Energy Limited Via FTI Consulting
Tim Cornelius, Chief Executive Officer
Andrew Dagley, Chief Financial Officer
Cantor Fitzgerald Europe +44 (0) 20 7894 7000
(Nominated Adviser, Joint Broker and sole Bookrunner to the Company)
JP. Morgan Cazenove +44 (0) 20 7742 4000
(Adviser and Joint Broker to the Company)
Michael Wentworth Stanley
FTI Consulting +44 (0) 20 3727 1000
(PR Adviser to the Company)
SIMEC Atlantis Energy
SIMEC Atlantis Energy is the global developer, owner and operator of sustainable energy projects with a diverse portfolio of more than 1,000 megawatts in various stages of development. This includes a 77% stake in the world’s largest tidal stream power project, MeyGen, and the conversion of the 220MW Uskmouth Power Station.
In 2017, we entered into a strategic partnership with SIMEC, a member of the GFG Alliance, to convert the Uskmouth Power Plant to use an end-of-waste energy pellet as fuel. The plant is expected to enter commercial operations in 2020 and will sell its power to GFG Alliance companies under two 20-year power purchase agreements. A successful conversion will tackle the pressing issue of non-recyclable waste in the UK and will form the blue-print for other large-scale conversion projects across the globe.
We intend this to be the first of a number of acquisitions aiming to transform SIMEC Atlantis into a diversified energy company of scale, owning development and generating assets across the sustainable energy spectrum in Europe, Asia and Australia, complementing our existing UK pipeline.