VIVOPOWER SECURES EXTENSION FOR US$34M LOAN FINANCING FACILITY AGREEMENT
Rhea-AI Summary
VivoPower International (Nasdaq: VVPR) has successfully secured an amendment and extension to its US$34 million shareholder loan financing agreement with AWN Holdings. This agreement consolidates all existing shareholder loans into a single tranche and reclassifies them as non-current liabilities, enhancing VivoPower's balance sheet. Additionally, AWN Holdings is granted an option to buy 1,150,000 Tembo shares at $1.35 per share, which will be locked up for at least six months post-business combination with Cactus Acquisition Corp 1. The extension affirms shareholder confidence in VivoPower's strategy and the Tembo transaction.
Positive
- Secured an extension for US$34 million shareholder loan, reflecting strong financial support.
- Consolidated multiple loans into a single tranche, simplifying debt structure.
- Reclassified loans as non-current liabilities, improving balance sheet stability.
- Granted AWN an option to acquire 1,150,000 Tembo shares at $1.35 per share, reflecting shareholder confidence.
Negative
- Potential dilution risk as AWN Holdings has an option to acquire 1,150,000 Tembo shares.
News Market Reaction 1 Alert
On the day this news was published, VVPR gained 19.61%, reflecting a significant positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Agreement consolidates major shareholder loan into single US
Extends tenure of non-dilutive financing at VivoPower level
Loan amended to be all non-current status, improving VivoPower’s balance sheet profile
Agreement confirms continued major shareholder support for VivoPower and confidence in the Tembo transaction
LONDON, July 09, 2024 (GLOBE NEWSWIRE) -- Nasdaq-listed B Corp VivoPower International PLC (Nasdaq: VVPR, “VivoPower”) announced today that its independent directors have secured an amendment and extension to its US
As part of the amended terms, VivoPower has consolidated all of its shareholder loans at VivoPower International PLC level, as well as amending all of the outstanding loans to non-current status. This improves the balance sheet profile of VivoPower.
AWN will also receive an option to acquire 1,150,000 Tembo shares (the “Options”) from VivoPower post business combination with Cactus Acquisition Corp 1 Limited (“CCTS”) at an exercise price of
About VivoPower
VivoPower is an award-winning global sustainable energy solutions B Corporation company focused on electric solutions for off-road and on-road customised and ruggedised fleet applications as well as ancillary financing, charging, battery and microgrids solutions. The Company’s core purpose is to provide its customers with turnkey decarbonisation solutions that enable them to move toward net-zero carbon status. VivoPower has operations and personnel covering Australia, Canada, the Netherlands, the United Kingdom, the United States, the Philippines, and the United Arab Emirates.
Forward-Looking Statements
This communication includes certain statements that may constitute “forward-looking statements” for purposes of the U.S. federal securities laws. Forward-looking statements include, but are not limited to, statements that refer to projections, forecasts or other characterisations of future events or circumstances, including any underlying assumptions. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would” and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements may include, for example, statements about the achievement of performance hurdles, or the benefits of the events or transactions described in this communication and the expected returns therefrom. These statements are based on VivoPower’s management’s current expectations or beliefs and are subject to risk, uncertainty, and changes in circumstances. Actual results may vary materially from those expressed or implied by the statements herein due to changes in economic, business, competitive and/or regulatory factors, and other risks and uncertainties affecting the operation of VivoPower’s business. These risks, uncertainties and contingencies include changes in business conditions, fluctuations in customer demand, changes in accounting interpretations, management of rapid growth, intensity of competition from other providers of products and services, changes in general economic conditions, geopolitical events and regulatory changes, and other factors set forth in VivoPower’s filings with the United States Securities and Exchange Commission. The information set forth herein should be read in light of such risks. VivoPower is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements whether as a result of new information, future events, changes in assumptions or otherwise.
Contact
Shareholder Enquiries
shareholders@vivopower.com
FAQ
What recent loan agreement has VivoPower International (VVPR) secured?
How does the new loan agreement affect VivoPower's balance sheet?
What options does AWN Holdings have under the new agreement with VivoPower (VVPR)?
What was the exercise price for the Tembo shares option granted to AWN Holdings?
How does the new loan agreement reflect the relationship between VivoPower and AWN Holdings?
