Kibo Energy PLC, the renewable energy-focused development company, announces that further to its previous announcements dated 12 July 2023, 4 August 2023, 1 September 2023 and 22 September 2023, respectively, its subsidiary Mast Energy Developments PLC ('MED'), a UK-based multi-asset owner, developer and operator in the rapidly growing flexible market, has signed a replacement first definitive and binding Joint Venture Agreement ('JVA') with Proventure Holdings (UK) Ltd, part of the Proventure Group ('Proventure'). This follows a rearrangement of the investor consortium participation as previously set out in a Company RNS dated 1 September 2023.
The terms of the replacement JVA are the same in all material aspects as that of the previous JVA, as noted in a Company announcement dated 12 July 2023. Further, under the terms of the JVA, Proventure is required to make an initial interim payment of £2,000,000 (the 'Interim Payment') to the Joint Venture Special Purpose Vehicle ('SPV'), to be received no later than 10 November 2023. The consortium's proof of funds has already been provided by Proventure. As such, MED has extended the completion long-stop date for the JVA as well as the payment of the balance of the investment, amounting to c. £3.9 million, by no later than 30 November 2023. The JVA further commits both parties to promptly finalise terms on a second joint venture as previously detailed in an announcement dated 12 July 2023.
Louis Coetzee, CEO of Kibo Energy, says: "We are pleased that MED is partnering with a reputable institutional investor such as Proventure and have full confidence that the parties will conclude the transaction in accordance with the revised long-stop date, paving the way for the further success of the second joint venture."
