Source - RNS
RNS Number : 8718K
Cogenpower PLC
27 September 2016
 

 

Cogenpower plc

("Cogenpower" or "the Company")

 

Rescheduling of loan repayments with UniCredit S.p.A.

 

Cogenpower (LSE:CGP), the AIM-quoted low-carbon technology energy business, is pleased to announce that, following the announcement of the Company's interim results on 23 September 2016 and further discussions with UniCredit S.p.A. ("UniCredit", MI:UCG), the Company signed on 26 September 2016 a moratorium with UniCredit regarding the timing for the repayment of part of its existing debt facility.

 

Background to UniCredit loan arrangements

 

As detailed in the Company's admission document dated 5 February 2016, Cogenpower s.r.l., a wholly owned subsidiary of the Company, entered into three separate loan agreements with UniCredit on 13 December 2007 (the "UniCredit Loan 1"), 5 December 2008 (the "UniCredit Loan 2") and 29 March 2011 (the "UniCredit Loan 3") for credit lines totalling €7,900,000 (together the "UniCredit Loans"). As at today's announcement the amount outstanding pursuant to these credit lines amounts to €4,810,047. During 2014 the Company entered into amendment agreements to extend the duration of the respective loan agreements until 31 December 2022 for the UniCredit Loan 1, 31 December 2023 for the UniCredit Loan 2 and 31 December 2025 for the UniCredit Loan 3.

 

Further details on the terms of the loans with UniCredit are detailed in the admission document published on 5 February 2016.

 

Moratorium

 

On 26 September 2016, the Company entered into a moratorium with UniCredit in relation to the UniCredit Loans. Under the terms of the moratorium UniCredit have agreed to postpone the payment of the instalments of the capital of the UniCredit Loans for the six month period to 30 September 2016 (payable on 30 September 2016) until the date that each UniCredit Loan matures respectively. These quarterly instalments will consequently be paid in the two quarters following maturity of the respective UniCredit Loans in 31 December 2022, 31 December 2023 and 31 December 2025.

 

As a result of the moratorium, the cost saving for the Company for 2016 is approximately €272,000.

 

Save for the change to the repayment dates on the capital instalments detailed above, the entering into of the moratorium between UniCredit and Cogenpower does not result in a change to any terms of the UniCredit Loans.

 

Dr Francesco Vallone, founder and CEO of Cogenpower, said:

 

"We value our long-term collaboration with UniCredit who have been a significant financial supporter in the development of Cogenpower's Anaconda technology. This moratorium allows the Company to better manage its working capital needs and shows a tangible commitment to support Cogenpower."

 

-ENDS-

Further enquiries:

 

Cogenpower plc

Dr. Francesco Vallone

Martin Groak

Ilaria Cannata

 

+44 (0) 20 7930 0777

 

Allenby Capital

(Nominated Adviser and Broker)

 

Nick Athanas

Richard Short

 

+44 (0)20 3328 5656

EnVent S.p.A. and EnVent Capital Markets

(Financial Adviser to the Company in Italy)

 

Franco Gaudenti

 

+39 06 896 841

Cardew Group

Shan Shan Willenbrock

Nadja Vetter

Emma Ruttle

 

+44 (0) 20 7930 0777

[email protected]

 

 

 

About Cogenpower

 

Cogenpower (CGP.L) is a low-carbon energy business specialising in the design, build and operation of efficient, automated CHPDH networks able to serve communities of up to 50,000 people.  At the heart of the business is the Anaconda technology, an automated, intelligent energy generation and control system equipped with a heat storage facility that efficiently delivers heat to customers and electricity to the grid. The innovative technology, with proven energy efficiency of more than 90% compared to a worldwide average of circa 45%, is designed to address the growing global €30 billion district heating market.

 

The Company's flagship plant in Borgaro Torinese, on the outskirts of Turin in the north of Italy, is a 3MWe (electrical output) / 15MWt (heat output) CHPDH operation that serves approximately 4,500 end users in 62 separate buildings attached to a 13 kilometre pipe network. The operation is 92% energy efficient. The energy efficiencies achieved by the Anaconda technology at the existing plant, (currently fuelled by natural gas, but with a biomass/gas hybrid plant under development) already reduce emissions by 3,000 tonnes of CO2 per annum, compared to traditional heating methods. Customers benefit from lower capex costs, no maintenance costs and lower heating bills compared to installing conventional solutions.

 

Although district heating systems have been available for some time, technological advances have brought significant new operational and environmental advantages, making them increasingly attractive and reliable energy solutions for communities. The Company listed on AIM in February 2016, enabling it to pursue growth opportunities particularly in Italy and the UK.

www.cogenpower.co.uk

 

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
MSCDQLFLQKFFBBL

Related Charts

Cogenpower (CGP)

-1.00p (-7.84%)
delayed 09:00AM