- VivoPower International (NASDAQ: VVPR) advances a US$200 million Tembo transaction with Energi Holdings.
- Energi Holdings will acquire a 51% stake in Tembo, with plans for a separate public listing via SPAC merger.
- VivoPower's board considers special dividends or capital returns to shareholders from investment proceeds.
VivoPower International PLC (NASDAQ: VVPR) has announced significant progress in its US$200 million transaction involving its subsidiary, Tembo, following the successful completion of the second phase of due diligence by Energi Holdings. Energi Holdings, an Abu Dhabi-based energy solutions company, plans to acquire a 51% stake in Tembo, placing a US$200 million enterprise value on the company.
The two companies have agreed to proceed with negotiations on binding transaction documents, aiming for an early closing of the deal. Furthermore, the transaction supports the planned merger of Tembo with Cactus Acquisition Corp. 1 Ltd (CCTSF), which will facilitate Tembo’s separate public listing. Energi Holdings, with annual revenues of US$1 billion and operations spanning multiple global regions, sees this acquisition as strategically beneficial.
Concurrently, VivoPower’s board is assessing the best use of the investment proceeds that includes the possibility of returning capital to shareholders or distributing special dividends. This financial strategy aligns with VivoPower's commitment to maximizing shareholder value while advancing its business objectives in the energy solutions sector.
