TIDMZEN
RNS Number : 0475B
Zenergy Power PLC
11 February 2011
Embargoed Release: 07:00hrs Friday 11th February
Zenergy Power plc
("Zenergy" or the "Company" or the "Group")
Review of Group's business, strategic options and commencement
of offer period
The Board of Zenergy, a leading developer of superconducting
technology, announces that it has completed a review of the Group's
business and strategic options which involved the Group's main
business lines and an assessment of the long term viability of the
Group's overall strategy.
The Company has created a patented portfolio of IP in the area
of High Temperature Superconductivity ("HTS") which has been
incorporated into a number of industrial power applications which
have achieved significant firsts in their respective markets. These
included the first industrial HTS product, the Magnetic Billet
Heater, and the first HTS Fault Current Limiter installed in the US
electrical grid. These achievements and the interest they have
generated coupled with trends in the energy sector, such as the
shift towards "smart grids", have led the Board to conclude that
there is significant value in the Group's superconductor technology
solutions.
HTS Wire (2G)
The Company's HTS wire process offers the potential to reduce
significantly the cost of HTS wire production through the use of a
continuous chemical process which, when scaled-up, can deliver
industrial quantities of wire at low cost, thus facilitating and
stimulating the adoption of superconducting equipment
generally.
The Board previously announced that the investment required to
scale-up the technology to commercialisation is too great for
Zenergy to fund on its own.
Fault Current Limiter ("FCL")
The Board believes that the FCL product has a large long term
potential market and is part of the transition to "smart grids" and
distributed power generation. However, it is the Board's view that
it is likely to be a number of years before FCL will have achieved
significant market penetration. Furthermore, the FCL is a
specialist component of the Transmission and Distribution (T&D)
equipment market and as such would benefit from the greater
resources of a larger T&D equipment supplier.
Magnetic Billet Heaters ("MBH")
Sales of MBH have been at lower volumes and on a significantly
more protracted timescale than the Board had originally hoped.
Whilst this business may in due course cover its costs and make a
contribution towards central costs, the Board has concluded that it
will not be of sufficient scale to be the main driver of Zenergy's
growth.
Generators and motors
The Company has also developed and supplied superconducting
coils for use in generators and motors, where it has engaged with
potentially interested industry players in wind, hydro and marine
propulsion.
The funding required to finance Zenergy through the period of
commercialising its technology would be substantial and there can
be no certainty that the Group would be able to secure such
funding.
The Board has, therefore, concluded that Zenergy's business can
best be developed as part of a larger group with access to the
necessary funding and commercial relationships to enable
commercialisation of Zenergy's unique IP and products. Accordingly,
the Board has appointed Matrix Corporate Capital LLP and Woodside
Capital Partners to seek a purchaser for the Group. As a result,
the Company has entered into an offer period for the purposes of
the Takeover Code.
Following recent changes to the composition of the Board, the
Panel on Takeovers and Mergers has confirmed that it considers
Zenergy's place of central management and control to be in the
United Kingdom. Accordingly, Zenergy is now subject to the
provisions of the Takeover Code.
In accordance with Rule 2.10 of the Code, Zenergy confirms that
it has in issue and admitted to trading on AIM 69,059,368 ordinary
shares of 1p each under International Securities Identification
Number GB00B19HBR28.
Zenergy will make a further announcement in due course, as
appropriate.
Enquires:
Stephen Mischler Matrix Corporate Capital + 44 20 3206
LLP 7203
Mike Powell Woodside Capital Partners + 44 208 144
(UK) LLP 5139
Disclosure requirements of the Takeover Code (the "Code")
Under Rule 8.3(a) of the Code, any person who is interested in
1% or more of any class of relevant securities of an offeree
company or of any paper offeror (being any offeror other than an
offeror in respect of which it has been announced that its offer
is, or is likely to be, solely in cash) must make an Opening
Position Disclosure following the commencement of the offer period
and, if later, following the announcement in which any paper
offeror is first identified. An Opening Position Disclosure must
contain details of the person's interests and short positions in,
and rights to subscribe for, any relevant securities of each of (i)
the offeree company and (ii) any paper offeror(s). An Opening
Position Disclosure by a person to whom Rule 8.3(a) applies must be
made by no later than 3.30 pm (London time) on the 10th business
day following the commencement of the offer period and, if
appropriate, by no later than 3.30 pm (London time) on the 10th
business day following the announcement in which any paper offeror
is first identified. Relevant persons who deal in the relevant
securities of the offeree company or of a paper offeror prior to
the deadline for making an Opening Position Disclosure must instead
make a Dealing Disclosure.
Under Rule 8.3(b) of the Code, any person who is, or becomes,
interested in 1% or more of any class of relevant securities of the
offeree company or of any paper offeror must make a Dealing
Disclosure if the person deals in any relevant securities of the
offeree company or of any paper offeror. A Dealing Disclosure must
contain details of the dealing concerned and of the person's
interests and short positions in, and rights to subscribe for, any
relevant securities of each of (i) the offeree company and (ii) any
paper offeror, save to the extent that these details have
previously been disclosed under Rule 8. A Dealing Disclosure by a
person to whom Rule 8.3(b) applies must be made by no later than
3.30 pm (London time) on the business day following the date of the
relevant dealing. If two or more persons act together pursuant to
an agreement or understanding, whether formal or informal, to
acquire or control an interest in relevant securities of an offeree
company or a paper offeror, they will be deemed to be a single
person for the purpose of Rule 8.3.
Opening Position Disclosures must also be made by the offeree
company and by any offeror and Dealing Disclosures must also be
made by the offeree company, by any offeror and by any persons
acting in concert with any of them (see Rules 8.1, 8.2 and 8.4).
Details of the offeree and offeror companies in respect of whose
relevant securities Opening Position Disclosures and Dealing
Disclosures must be made can be found in the Disclosure Table on
the Takeover Panel's website at www.thetakeoverpanel.org.uk,
including details of the number of relevant securities in issue,
when the offer period commenced and when any offeror was first
identified. If you are in any doubt as to whether you are required
to make an Opening Position Disclosure or a Dealing Disclosure, you
should contact the Panel's Market Surveillance Unit on +44 (0)20
7638 0129.
This information is provided by RNS
The company news service from the London Stock Exchange
END
STRBLGDDDGBBGBG
Cloudcall (LSE:CALL)
Historical Stock Chart
Von Apr 2024 bis Mai 2024
Cloudcall (LSE:CALL)
Historical Stock Chart
Von Mai 2023 bis Mai 2024