Climeon

Climeon and Baseload Capital have entered into an agreement regarding both Climeon's ownership in Baseload Capital Holding AB, as well as its non-commissioned HeatPower 150 units. According to the agreement, the previous order for HeatPower 150 made by Baseload Power Taiwan has also been cancelled. The agreement, which is expected to come into full force during 2024, does not have any cash impact for Climeon beyond a possible future exercise of a call option that Climeon has issued regarding its remaining shares in Baseload Capital Holding. Climeon's intention is to divest its entire ownership in Baseload Capital over time.

The agreement includes the following:

• Climeon will sell approximately 34 percent of its shares in Baseload Capital Holding AB to a buyer designated by Baseload Capital Holding AB. The transfer is made at Climeon’s book value of the shares as per December 31st, 2023.

• Climeon will acquire a number of non-commissioned HeatPower 150 units from Baseload Japan, ensuring the future availability of components and spare parts for the HeatPower 150 units already in operation.

• The previous order of HeatPower 150 made by Baseload Power Taiwan has been cancelled. For Climeon, this means a write-down of the order book by approximately SEK -28 million.

The transactions above will have no cash impact for Climeon, while a write-down of financial assets of SEK -7.8m will affect the financial results as of December 31, 2023.

Climeon has, in addition to this, issued a call option regarding Climeon's remaining shares in Baseload Capital Holding AB to one of Baseload Capital Holding AB's other shareholders, to be exercised during a predefined period with an agreed value of approximately SEK 44m. This call option can thus lead to a positive liquidity addition in the future.
 

"This agreement allows Climeon to fully focus on the commercialization and deliveries of our latest product generation HeatPower 300 in parallel with servicing already commissioned HeatPower 150 units. Over time, our intention is to divest our entire ownership in Baseload Capital.”
Lena Sundquist, CEO Climeon

 
More detailed financial information regarding the agreed transactions will be communicated in Climeon's quarterly report for the fourth quarter of 2023, released on February 6, 2024.