Amsterdam/Oslo - 17 November 2023 - MPC Energy Solutions ("MPCES", "Company")
has announced that it is in the process of returning USD 10.8 million in free
cash from its hybrid solar photovoltaics ("PV") and battery storage project on
the island of St. Kitts and Nevis. The project is a joint venture with Swiss
battery expert Leclanché. The transaction is expected to be concluded in the
coming days and MPCES will subsequently exit the joint venture and the project.
MPCES will recover at least USD 10.8 million of its invested capital. The return
of funds significantly improves the Company's free cash reserves and allows
MPCES to focus its resources towards higher-yielding activities.
"We need to remain focused on delivering adequate risk-adjusted returns and
optimizing our portfolio. When evaluating our projects, we put emphasis on
resilience against changing dynamics, last but not least to a significantly
different interest rate environment", said Stefan H.A. Meichsner, Chief
Financial Officer of MPCES.
He continued, "With the repatriated funds we are now able to pursue investment
opportunities which we believe in the long run to provide greater value for our
shareholders."
With regards to MPCES' experience in St. Kitts and Nevis, Stefan H.A. Meichsner
said, "Our exit is by no means a reflection of our commitment to the Caribbean
and our willingness to help the needed energy transition. The project has a lot
of merits and advantages, and we wish all parties involved a swift and decisive
progress towards realizing it and bringing clean and affordable energy to the
people of St. Kitts."
As a potential consequence of the project exit, the Company predicts short-term
net losses to not exceed USD 3.0 million, whilst at least USD 10.8 million will
be recovered. In due course, MPCES will make any further required disclosures
concerning the financial impact of its withdrawal from St. Kitts and Nevis.
However, the firm is working to minimize these.
Meichsner elaborated. "We now have the ability to pursue alternative prospects
and protect our company's and shareholders' overall interests. Exiting the
project provides us with an opportunity to refocus our engagement, and we will
grasp that opportunity."
- ENDS -
About MPC Energy Solutions
MPC Energy Solutions ("MPCES") is a global provider of sustainable energy and
primarily focuses on low-carbon energy infrastructure, including solar and wind
farms, and other hybrid and energy efficiency solutions. The Company
participates in the full project lifecycle of renewable solutions, from
early-stage development through construction and operation. More details at
www.mpc-energysolutions.com
Media contacts
MPC Energy Solutions N.V.
Investor Relations & Public Relations
Email: ir@mpc-energysolutions.com
Norway
Mats Samdahl Weltz
Salto Advisers
Phone: +47 950 46330
Email: msw@saltoadvisers.no