Just Energy Announces Closing of the Sale of its UK Operations
November 29 2019 - 08:00AM
Just Energy Group Inc. (“Just Energy” or “the Company”) (TSX:JE)
(NYSE:JE) is pleased to announce that it has closed its previously
announced sale of Hudson Energy Supply UK Limited (“Hudson UK”) to
Shell Energy Retail Limited.
“The successful sale of Hudson UK further
advances our efforts to streamline the organization and concentrate
on our higher-margin North American operations, while also
improving our liquidity,” said Scott Gahn, President and Chief
Executive Officer of Just Energy. “We remain focused on our
strategic review process, while also improving and optimizing our
business through strict cost management, prudent investments, and a
focus on signing high-quality customers that support improved
profitability objectives.”
Pursuant to the share purchase
agreement, the aggregate amount of the closing consideration
received was approximately £1.5 million (approximately C$2.8
million), following the closing adjustments. While the
capacity market payments were reinstated in the UK in late October,
any contingent consideration due to Just Energy will be paid
following the determination of Hudson UK’s ultimate capacity market
payment for the period up to June 30, 2019, which is expected to be
determined within six months of closing.
About Just Energy Group
Inc.
Just Energy is a consumer company focused
on essential needs, including electricity and natural gas
commodities; health and well-being, such as water quality and
filtration devices; and utility conservation, bringing energy
efficient solutions and renewable energy options to consumers.
Currently operating in the United
States and Canada, Just Energy serves
residential and commercial customers. Just Energy is the
parent company of Amigo Energy, EdgePower Inc., Filter
Group Inc., Hudson Energy, Interactive Energy Group, Just
Energy Advanced Solutions, Tara Energy, and terrapass.
Visit https://investors.justenergy.com/ to learn more.
Also, find us on Facebook and follow us
on Twitter.
FORWARD-LOOKING STATEMENTS
This press release may contain forward-looking
statements including statements regarding the Company’s financial
outlook. Forward-looking statements in this press release include,
but are not limited to, statements and information regarding the
achievement of the contingent consideration in the sale of Hudson
UK, the improvement of the Company’s liquidity position as a result
of the sale of Hudson UK and the Company’s ability to identify
further opportunities to improve its cost structure. These
statements are based on current expectations and assumptions that
are believed to be reasonable, but that involve a number of risks
and uncertainties which could cause actual results to differ from
those anticipated. These risks include, but are not limited to,
general economic and market conditions, weather conditions, levels
of customer natural gas and electricity consumption, rates of
customer additions and renewals, rates of customer attrition,
fluctuations in natural gas and electricity prices, changes in
regulatory regimes, results of litigation and decisions by
regulatory authorities, competition and dependence on certain
suppliers. Additional information on these and other factors that
could affect Just Energy's operations, financial results
or dividend levels are included in Just Energy's annual
information form and other reports on file with Canadian securities
regulatory authorities which can be accessed through the SEDAR
website at www.sedar.com, on the U.S. Securities
Exchange Commission’s website at www.sec.gov or
through Just Energy's website
at www.justenergygroup.com. All of the forward-looking
statements in this press release are qualified by the foregoing
cautionary statements. Neither the Toronto Stock
Exchange nor the New York Stock Exchange has
approved nor disapproved of the information contained herein.
FOR FURTHER INFORMATION PLEASE
CONTACT:
Scott Gahn Chief Executive Officer Phone: (713) 412-8314
sgahn@justenergy.comorInvestors Michael Cummings
Investor Relations Phone: (617) 982-0475 JE@alpha-ir.comMedia
Boyd Erman Longview Communications Phone: 416-523-5885
berman@longviewcomms.ca
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