Proton Motor Power Systems
plc
("Proton" or the
"Company")
Variation to Loan
Agreement
Proton Motor Power Systems plc (AIM:
PPS), the designer, developer and producer of fuel cells and fuel
cell electric hybrid systems with a zero-carbon footprint,
announces an update on its existing loan facility with Mr. Falih
Nahab (the "Falih Nahab Facility").
On 20 June 2023, the Company
announced that it had increased the size of the Falih Nahab
Facility by €14.5 million, to approximately €71.4 million, to
provide the Company with the funding to meet its anticipated
working capital requirements for the 12 months to June
2024.
The Company has today entered into a
variation to the Falih Nahab Facility to increase the facility by a
further €6.1 million, to €77.5 million, (plus accrued interest of
€21.2 million as at end May 2024). The facility has consistently
enabled the Company to progress the development and
commercialization of its hydrogen product offer, without the need
to issue further equity. The additional €6.1 million of loan
funding made available pursuant to the variation was advanced to
the Company by Mr. Falih Nahab between February and June 2024 and
was necessitated by the decision to accelerate payments on sums due
to contractors for the new production facility, together with a
delayed receipt of a payment due from a customer.
Since 1 January 2022, the annual
interest rate on the Falih Nahab Facility has remained at 12 months
EURIBOR + 3%. The annual interest charge accrued on the Falih
Nahab Facility for the period commencing 1 January 2023 can be
settled once or twice yearly by way of issue of ordinary shares of
0.5 pence each of Proton Motor Power Systems PLC (the "Ordinary
Shares") to Mr. Falih Nahab with such shares being issued at the
prevailing market price of an Ordinary Share at the time of issue
and subject to there being no closed period at the time of
issue.
The principal amount and accrued
interest on the Falih Nahab Facility that is not converted into
equity (as set out above) are repayable on 31 December 2025. All
other terms to the Falih Nahab Facility remain unchanged, as do the
terms of the existing loan facilities between SFN Cleantech
Investment Limited ("SFN") and the Company, and SFN and SPower, a
subsidiary of Proton.
It is anticipated that the Company
will be required to increase its existing loan facilities further,
or enter into a new facility, in order to provide the Company with
the funding to cover its anticipated working capital requirements
for the next 12 months. The Company is currently in discussions
with Mr. Falih Nahab in relation to a new loan facility and a
further announcement will be made in due course.
Related Party Transaction
Mr. Falih Nahab is a substantial
shareholder (as defined in the AIM Rules for Companies). The
variation to the Falih Nahab Facility is therefore classified as
transaction with a related party for the purposes of the AIM Rules
for Companies. The directors of the Company, with the exclusion of
Dr. Faiz Nahab, the Company's Chief Executive, who is the brother
of Mr. Falih Nahab, having consulted with the Company's nominated
adviser, Allenby Capital Limited, consider that the changes to the
Falih Nahab Facility are fair and reasonable insofar as the
Company's shareholders are concerned.
For
further information:
|
Proton Motor Power Systems
Plc
Dr Faiz Nahab,
CEO
Ali Naini,
Chairman
Roman Kotlarzewski, CFO
Antonio Bossi, Non-Executive
Director
|
+49 (0) 173 189 0923
|
|
Investor relations:
|
www.protonpowersystems.com
investor-relations@proton-motor.de
|
|
Allenby Capital
Limited
Nominated Adviser &
Broker
James Reeve / Vivek
Bhardwaj
|
+44 (0) 20 3328 5656
|
|
Celicourt Communications
PR
Adviser
Mark Antelme / Philip
Dennis /
Charlie Denley-Myerson
|
+44 (0) 20 7770 6424
/ protonmotor@celicourt.uk
|
|
|
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About Proton Motor Fuel Cell GmbH
Proton Motor has 25 years of
experience in Power Solutions using CleanTech technologies such as
hydrogen fuel cells, fuel cell and hybrid systems with a zero
carbon footprint. Based in Puchheim near Munich, Proton Motor
develops and produces standard Products as well as customised
solutions. The focus of Proton Motor is on stationary
solutions, as well as mobile, marine and rail applications.
The product portfolio consists of base-fuel cell systems, standard
complete, as well as customised systems.
Proton Motor Fuel Cell GmbH is a
wholly owned subsidiary of Proton Motor Power Systems plc. The
Company has been quoted on the AIM market of the London Stock
Exchange since October 2006 (code: PPS).