OAKVILLE, ON / ACCESSWIRE / May 26, 2021 / Spark Power Group Inc. (TSX:SPG), parent company of Spark Power Corp. ("Spark Power" or the "Company"), is pleased to provide an update on its previously announced strategic review process (the "Strategic Review") being overseen by a special committee of independent directors (the "Special Committee") to consider and evaluate strategic alternatives to enhance stakeholder value. After reviewing and evaluating various strategic alternatives, the Special Committee has recommended to the Board of Directors of the Company (the "Board") and the Board has approved the initiation of a formal sales process for the Company.
The Special Committee is working cooperatively with the co-founders of the Company, Jason Sparaga, Andrew Clark and Eric Waxman, who collectively hold approximately 45% of the Company's outstanding shares, to maximize value for all stakeholders. Each of Messrs. Sparaga, Clark and Waxman has indicated to the Board of their preference to sell their entire interest in the Company in a value enhancing transaction.
"The Special Committee continues to positively progress the Strategic Review with a view to enhancing stakeholder value," said Larry Taylor, Chair of the Board and Chair of the Special Committee. "We are extremely pleased with the level of inbound interest from potential counterparties, and intend to capitalize on this momentum going forward in the process and hope to conclude a transaction that provides enhanced value for all shareholders and capitalizes the Company going forward," Taylor continued.
Jason Sparaga, Executive Chair of the Board, commented, "We are very proud of what Spark Power has become since Andrew, Eric and I founded the business in 2010. We believe that it is in the best interests of the Company to find a new partner that will fund the strategic growth for the business going forward and provide an exceptional platform for the employees of Spark Power to drive the business to the next level. We are fully supportive of this initiative and believe it is in the best interests of all Spark Power stakeholders and look forward to working side by side with the Special Committee on this sales process."
The Company initially announced the formation of the Special Committee and launched the Strategic Review on February 6, 2020. Following a pause in spring 2020 due to the COVID-19 pandemic crisis, the Company announced that the Special Committee had formally restarted the Strategic Review in the latter part of 2020.
The Special Committee is comprised of Larry Taylor (Chair), Lucio Di Clemente, and Joe Quarin, all of whom are independent directors of the Board. The Special Committee has retained KeyBanc Capital Markets as sole and exclusive financial advisor and Bennett Jones LLP as legal advisor. Cassels Brock & Blackwell LLP has been engaged as legal advisor to the Company.
The intention is to complete the Strategic Review process in a timely fashion. However, there can be no assurance that the Strategic Review will result in any transaction or, if a transaction is undertaken, as to the terms or timing of such a transaction. Spark Power will provide an update when further disclosure is necessary or appropriate.
About Spark Power
Spark Power is a leading independent provider of end-to-end electrical services, operations and maintenance services, and energy sustainability solutions to the industrial, commercial, utility, and renewable asset markets in North America. We work to earn the right to be our customers' Trusted Partner in Power™. Our highly skilled and dedicated people, located in the communities we serve, combined with our knowledge of the power industry, technology expertise, and commitment to safety, ensures we deliver the right solutions that keep our customers' operations up and running today and better equipped for tomorrow. Learn more at www.sparkpowercorp.com.
This news release may contain forward-looking statements (within the meaning of applicable securities laws), which reflect Spark Power's current expectations regarding future events. Forward-looking statements are identified by words such as "believe", "anticipate", "project", "expect", "intend", "plan", "will", "may", "estimate" and other similar expressions. The forward-looking statements in this press release include statements regarding the Special Committee's expectations regarding the potential next steps in the Strategic Review and the potential outcomes of the Strategic Review. The forward-looking statements in this news release are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. Several factors could cause actual results to differ materially from the results discussed in the forward-looking statements. Such factors include, among others: the ability of the Company to find a suitable strategic partner, potential buyer or participants for a financing; currency fluctuations; disruptions or changes in the credit or security markets; results of operations; and general developments, market and industry conditions. Readers, therefore, should not place undue reliance on any such forward-looking statements. Further, these forward-looking statements are made as of the date of this news release and, except as expressly required by applicable law, Spark Power assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
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SOURCE: Spark Power Group Inc.