Update on proposed merger with Avalon

RNS Number : 8695A

RedT Energy PLC

24 January 2020

 

This announcement contains inside information

24 January 2020

redT energy plc

("redT" or the "Company")

Update on proposed merger with Avalon

redT energy plc (AIM:RED), the energy storage solutions company, announces that, further to its previous announcements dated 25 July, 1 November and 15 November 2019,  it continues to make progress with its planned merger with Avalon Battery Corporation ("Avalon").  The AIM admission document relating to the merger is expected to be published by 16 March 2020, at which point the temporary suspension of trading on AIM of redT's shares will be lifted and trading will resume. redT expects the merger and associated fundraising process to complete around the end of March 2020, in line with previous announcements.

Alongside progress with the documentation and due diligence requirements of the merger, cross-functional staff groups from both redT and Avalon have been working together closely on integration plans across commercial, technical and organisational areas in readiness for the expected completion of the merger.

The merger and associated fundraising remain subject inter alia to final due diligence, definitive legal agreements being reached and a successful fundraising to provide the necessary funds for the enlarged business.  The merger and associated fundraising will be subject to the approval of redT's shareholders and the merger is also subject to the final approval of Avalon's shareholders.

Further announcements will be made in due course.

Enquiries:

redT energy plc	[phone]
Neil O'Brien, Executive Chairman
Fraser Welham, Chief Financial Officer Joe Worthington, Investor & Media Relations
Investec Bank plc (Nominated Adviser and Broker)	[phone]
Jeremy Ellis / Chris Sim / Cassie Herlihy
VSA Capital (Financial Adviser and Joint Broker) Andrew Monk / Andrew Raca	[phone]

Notes to Editors

About redT energy

redT energy plc are experts in energy storage, specialising in the design, manufacture, installation and operation of energy storage infrastructure which creates revenue alongside reliable, low-cost renewable generation for businesses, industry and electricity distribution networks. Using patented vanadium redox flow technology to store energy in liquid, redT's own energy storage machines can be run continually with no degradation: charging and discharging for over 25 years, matching the lifespan of renewable assets in on-grid, off-grid and weak-grid settings.

redT's energy storage solutions, developed over the past 15 years, address today's changing energy market by providing a flexible platform for time shifting surplus renewable power, securing electricity supplies and earning revenue through grid services. The company has customers in the UK, Europe, sub-Saharan Africa, Australia and Asia Pacific. For more information, visit www.redTenergy.com

 For sales, press or investor enquiries, please contact the redT team on [phone].

About Avalon

Avalon Battery was founded on the principle that productized vanadium-based flow batteries will revolutionize energy projects and play a critical role in a renewable energy future.  With operations in Fremont, California, USA and Vancouver, Canada, and a low-cost manufacturing presence in Suzhou, China, Avalon produces dependable, safe, and economical energy storage systems.

Avalon believes the foundations of its product excellence are its technology and engineering team. Since 2005, its team has been one of the global leaders in design, production and deployment of vanadium flow batteries¹; the team now counts over 140 years' experience in vanadium flow battery development, has been involved in the deployment of over 15MWh of vanadium flow batteries since 2005, and has invented over 50 related independent patents.  www.avalonbattery.com

¹Based on searches of the US DOE Global Storage Database for electro-chemical, vanadium flow batteries understood to be in operation as at 29 October 2019.

This announcement is not intended to, and does not, constitute or form part of any offer, invitation or the solicitation of an offer to purchase, otherwise acquire, subscribe for, sell or otherwise dispose of, any securities whether pursuant to this announcement or otherwise.

The distribution of this announcement in jurisdictions outside the United Kingdom may be restricted by law and therefore persons into whose possession this announcement comes should inform themselves about, and observe, such restrictions. Any failure to comply with the restrictions may constitute a violation of the securities law of any such jurisdiction.

MAR

The information contained within this announcement is considered by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No.596/2014. Upon the publication of this announcement via a Regulatory Information Service, this inside information will be considered to be in the public domain.

 

END

 

 

UPDKKQBBKBKDQDB