Generation portfolio deferred consideration update

RNS Number : 8972C

Good Energy Group PLC

25 February 2022

 

Good Energy Group PLC

("Good Energy" or "the Company")

Generation portfolio deferred consideration update

Good Energy Group PLC (AIM:  GOOD), the 100% renewable electricity supplier and innovative energy services provider, today announces deferred consideration received in relation to the disposal of its 47.5MW renewable generation asset portfolio ("Portfolio") as part of an ongoing strategic shift to energy and mobility services.

Transaction summary

On 20 January 2022 the Company announced the disposal of its 47.5MW generation portfolio to Bluefield Solar Income Fund.  Total consideration of up to £24.5m was comprised of initial and deferred payments.  The initial consideration of £16.4m, less distributions since the lockbox date of £0.7m, resulted in £15.7m being paid to the Company on completion.  At that time, deferred consideration of up to £8.1m remained to be paid, with the final amount to be calculated with reference to an agreed financial model and based on the actual operational, technical, real estate and financial position of the Portfolio.

Deferred consideration update

The final deferred consideration payment has been agreed as follows:

· £4.3m has now been paid, with a further up to £0.5m to be paid on 30 June 2022, subject to Good Energy meeting all its payment obligations up to that date for power supplied by the Portfolio to it under the power purchase agreements. 

· The total deferred consideration is therefore agreed to be up to £4.8m.

· Of the £3.3m that will not be received, £2.3m arose due to the impact of a third-party energy yield assessment on the agreed financial model and £1m arose during detailed technical and financial due diligence.

· Total consideration received to date is therefore £20.7m, with an agreed final total consideration of up to £21.2m by 30 June 2022.

Nigel Pocklington, Chief Executive Officer of Good Energy, said:

"The sale of our generation portfolio, at a significant premium to book value, is a fantastic deal for our stakeholders. It is also a significant moment for Good Energy - we are using the capital from our past to invest in our future.

"Following the shareholder support we received at the recent general meeting, we look forward to continuing to execute against our clear and well supported strategic direction. We have an ambitious plan to capitalise on a rapidly growing market in decentralised, digitised clean energy and transport services, based on 100% real renewable power."

Enquiries

Good Energy Group PLC Nigel Pocklington, Chief Executive Charlie Parry, Director of Corporate Strategy & Investor Relations Luke Bigwood, Director of External Affairs	Email: [e-mail]
SEC Newgate UK	Email: [e-mail]
Elisabeth Cowell	Tel: [phone]
Investec Bank plc (Nominated Adviser and Joint Broker)
Sara Hale / Jeremy Ellis	Tel: [phone]
Canaccord Genuity Limited (Joint Broker) Henry Fitzgerald - O'Connor	Tel: [phone]

About Good Energy www.goodenergy.co.uk

Good Energy is a supplier of 100% renewable power and an innovator in energy services. It has long term Power Purchase Agreements with a community of 1,900 independent UK generators.

Since it was founded 20 years ago, the company has been at the forefront of the charge towards a cleaner, distributed energy system. Its mission is to support UK households and businesses generate, store and share clean power.

Good Energy is recognised as a leader in this market, through our green kite accreditation with the London Stock Exchange and as the only energy supplier with Gold Standard Uswitch Green Tariff Accreditation for all tariffs.

About Zap-Map  www.zap-map.com/live/

Launched in June 2014, with a mission to accelerate the shift to electric vehicles (EV) and help the drive towards zero carbon mobility, Zap-Map is the UK's leading EV mapping service. The charging point map, available on desktop and iOS/Android apps, helps EV drivers to search for available charge points, plan longer journeys, pay for charging on participating networks and share updates with other drivers.

Zap-Map currently has more than 320,000 registered users, and over 95% of the UK's public points on its network. Over 70% of UK EV drivers have downloaded Zap-Map, with growth in Zap-Map downloads more than keeping pace with the rapid growth in the EV market.

For more information, please visit www.zap-map.com.

 

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