VivoPower, Energi reach agreement for Energi to acquire 51% of Tembo

VivoPower International (VVPR) has reached agreement with Energi Holdings whereby Energi will proceed to secure a 51% shareholding in Tembo e-LV via a strategic PIPE investment at the previously advised total enterprise valuation of $200M. This confirmation will now enable the resumption of Tembo’s proposed business combination with the special purpose acquisition company namely Cactus Acquisition Corp 1 Limited (CCTS). The immediate priority will be the filing of a registration statement on Form F-4, which will subsequently reviewed by the Securities and Exchange Commission. The proposed investment by Energi is based on a total enterprise valuation for 100% of Tembo of $200 million, with the equity purchase price for the 51% stake to be derived from this enterprise valuation, adjusted for Tembo’s net debt and other customary adjustments at the time of closing. The investment is subject to completion of Tembo’s previously announced business combination agreement with Cactus Acquisition Corp. 1 Limited and customary closing conditions. VivoPower would continue to retain a significant shareholding in Tembo should the business combination be successfully consummated. The Board of VivoPower, the parent company of Tembo, has also commenced recruitment of a dedicated board of directors for Tembo, in preparation for its listing as a public company.