Information  X 
Enter a valid email address

Inspirit Energy Hlds (INSP)

  Print      Mail a friend

Thursday 07 May, 2015

Inspirit Energy Hlds

$3m Debt Facility & General Update

RNS Number : 4049M
Inspirit Energy Holdings PLC
07 May 2015
 

07 May 2015

 

Inspirit Energy Holdings plc

("Inspirit" or the "Company")

 

Inspirit secures $3m Debt Facility

 

General Update on the commercialisation of the Inspirit mCHP boiler

 

 

Inspirit (AIM: INSP), which is developing a heating boiler which also simultaneously generates enough electricity to power the average home, announces that it has secured a $3m debt facility to assist with the commercialisation its mCHP boiler, with the first commercial units scheduled for delivery to major clients for testing in July 2015.

 

Inspirit has also signed an Installation and maintenance agreement with national manufacturing and engineering ("M&E") contractor Robinsons M&E Ltd ("Robinsons") to install and maintain the initial volumes of Inspirit's highly efficient mCHP boilers.

 

Highlights:

 

·      US$3 million debt facility contract concluded with the first $400,000 drawn.

·      Agreement signed with the nationally recognised M&E specialists, Robinsons, to install and maintain Inspirit's unique high efficiency mCHP boiler initially for the UK market.

·      Robinsons have an extensive coverage within the UK and the introduction of Inspirit's mCHP boilers will complement their wide range of expertise in the gas boiler market place.

·      Robinsons are also one of only a few M&E companies that are accredited to the Microgeneration Certification Scheme (MCS) and have experience of installing appliances to this standard. This expertise allies to Inspirit's intention to produce a Feed in Tariff (FiT) compliant model in the near future where customers who have a high heat requirement but do not have the need of all the electricity generated could realise an attractive rate of return through this incentive.

·      Inspirit is currently embarking on expanding its population of early production units operating at the sites of their key potential customers and is using information gathered via these installations and the operating performance in a variety of different requirements to finalise its specification prior to volume production to facilitate a wide range of applications.

 

John Gunn, the Company's CEO, commented:

 

"Robinsons are a credible partner for Inspirit having a long established business history in the M&E contracting field. Their expertise and coverage will help us to understand the various requirements of our target customer group and allow us to improve the product specification in order to meet the needs of as many of the diverse market sectors that we believe the Inspirit appliance will appeal to.

 

The Company now has all the elements in place to build a significant customer base from which we can expand into future volume increases in both the home market and Europe and to make this British company's washing-machine-sized, high efficiency boiler-electricity generator available for the global market place."

 

Chris Spencer, Managing Director of Robinsons, commented:

 

"We are delighted to partner with Inspirit and assist with the installation of their highly efficient micro combined heat and power (mCHP) boiler. It is an exciting opportunity for Robinsons to be involved in the forefront of a building services technology which provides reduced carbon energy supply and is capable of running on natural gas, LPG and Bio Fuels. We are very much looking forward to developing a long and prosperous relationship with the Inspirit team".

 

Robinsons M&E Ltd:

 

Since 1963 Robinsons have been working with a wide range of clients across the UK delivering heating, air conditioning, ventilation, electrical & plumbing system installations and providing scheduled & planned maintenance services. Since starting out, we have become one of the UK's most highly-respected and accredited Mechanical, Electrical and Air Conditioning contractors, building a reputation for high quality delivery and engineering expertise.

 

Debt Facility:

 

Inspirit has entered into an unsecured US$3 million debt facility to be provided by YA Global Master SPV Ltd ("YAGM") to fund further investment in to the commercialisation and roll-out of its mCHP boiler range (the "YAGM Facility"). Any drawdowns by the Company under the YAGM Facility are to be repaid in twelve equal monthly amounts ("Monthly Repayment Amount") and carry an annual interest rate of 10 percent.

 

Inspirit is entitled to pay the Monthly Repayments Amounts either in cash, or at the Company's sole election, by means of conversion of the Monthly Repayment Amount into new ordinary shares, to be issued at a conversion price equal to 95% of the average of the lowest 5 daily volume weighted average prices ("VWAP") during the 15 trading days prior to the scheduled repayment date. 

 

All drawdowns under the YAGM Facility are subject to the prior approval of YAGM.

 

The Company has drawn down US$400,000 under the YAGM Facility, which is repayable at the rate of US$33,333 per month on or before 1 May 2016, together with accrued interest.

 

 

General update on the commercialisation of the Inspirit mCHP boiler-generator:

 

Inspirit has developed a high efficiency boiler suitable for large domestic and small commercial use that ensures the capability of simultaneous generation of up to 15kW thermal and up to 3kW electrical output. This uniquely represents about 3 times the electrical output compared to similar appliances available in the global marketplace.

 

The Company is currently working towards the initial production phase of manufacturing and all technical and performance specification is being rigorously tested through an extensive field trial program.

 

The Company has signed MOUs with those Companies that are receiving the trial boilers to ensure that suitable commercial discussions will take place and that Inspirit will be in a position to declare an order book of projected sales prior to larger volume production commencing.

 

For further information please contact:

 

 

 

Inspirit Energy Holdings plc

www.inspirit-energy.com

David Lenigas, Chairman

John Gunn, Executive Director

Nilesh Jagatia, CFO

+44 (0) 207 440 0640

+44 (0) 207 048 9400

+44 (0) 207 048 9405

 

 

Westhouse Securities Limited

 

Antonio Bossi / David Coaten

+44 (0) 207 601 6100

 

 

Beaufort Securities

+44(0) 207 382 8300

(Joint Broker)

Jon Levinson / Saif Janua/ Elliot Hance

 

 

 

Public Relations:

 

Square1 Consulting

 

David Bick/Mark Longson

+44 (0) 207 929 5599

 

 

 

About Inspirit Energy Holdings plc:

 

Inspirit Energy Holdings plc, is developing and commercialising a highly efficient micro combined heat and power (mCHP) boiler for the commercial and residential markets. The boiler is specifically designed to meet the challenge of reduced carbon energy supply and is capable of running on natural gas, LPG and Bio Fuels. The appliance produces hot water (for tap water or central heating) and electrical output simultaneously. The installation can be of single or multiple configuration and its high operating efficiency together with the off-set of electricity costs provides a very attractive investment payback proposition.

 

Inspirit intends to explore opportunities to licence out the underlying technology and the Directors believe that in some instances, the patents owned by Inspirit may be also used in the development of products other than a mCHP appliance. A prototype of the appliance has been independently tested and shown to be capable of simultaneous generation of up to 15kW thermal and up to 3kW electrical output. Once development of the appliance has been completed and commercialised, the Directors expect that the appliance will initially be marketed in the UK and Europe and eventually worldwide. Additional revenue streams may be possible through product licensing, sales of warranties and further development of the product. 

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
MSCLLFSEEDIRIIE

a d v e r t i s e m e n t