EAM: Standstill agreement implemented with Aveleos
20th of October 2014
EAM Solar ASA and Aveleos S.A. have agreed and implemented a 6 months Standstill Agreement in conjunction with the P31 portfolio acquisition.
Aveleos S.A., the seller of the P31 portfolio, is headquartered in Luxembourg and was established in 2010 as a joint venture between Enovos Luxembourg SA (59% ownership) and Avelar Energy Ltd (41% ownership). The objective of Aveleos has since its inception been to develop, operate and sell to the market photovoltaic plants in Italy and France.
EAM and Aveleos have agreed to jointly clarify all relevant facts related to the power plants and the viability of the FIT contracts that has been affected by the preliminary investigations conducted by the public Prosecutor in Milan. Furthermore, EAM receives cash securing liquidity for operating the affected power plants and SPV's in a normal manner. Based on the standstill Agreement EAM has lifted the injunction as described the stock exchange notice of the 4th of September.
The Standstill Agreement does not construe that either party waive any rights as regulated by the share purchase agreement, and all actions regulated by the share purchase agreement is suspended until the end of the standstill agreement period.
Last week EAM filed a petition to the administrative court in Rome in order to have the suspension of the payment of the feed in tariffs lifted. The filing of the petition is conducted following the preliminary results of the forensic fact finding work currently conducted by EAM. The administrative court in Rome is expected to conduct its court hearing on this matter the 30th of October. The administrative court may conduct a verdict in this matter two weeks after the hearing.
EAM will issue the third quarter 2014 report on Tuesday the 21st of October, and will consequently give more information on status of operations.
For information, please contact:
Viktor E Jakobsen, Executive Director, phone +47 9161 1009, viktor@eam.no
Audun W. Iversen, CEO, phone +47 916 16 250, audun@eam.no
About EAM Solar:
EAM Solar ASA is a utility company that acquires and operates solar power plants. The Company currently owns solar PV power plants in Italy, acquired during in 2011/12. The plants are operating under long-term sales contracts. EAM Solar acquires power plants that are commissioned, connected to the grid and in power production at the time of financial close with the geographical focus on Europe.