LEAF Leaf Clean Energy Company

 

TIDMLEAF TIDMTRE 
 
RNS Number : 4087H 
Leaf Clean Energy Company 
19 February 2010 
 

 
19 February 2010 
Leaf Clean Energy Company ("Leaf Clean" or the "Company") 
 
 
On 17 December 2009, the boards of Leaf Clean and Trading Emissions plc 
("Trading Emissions") announced that they had reached agreement on the terms of 
a recommended all-share merger of Leaf Clean and Trading Emissions. 
 
The merger was conditional on, amongst other things, approval of the scheme to 
implement the merger and the Trading Emissions merger resolutions by the Trading 
Emissions shareholders and approval of the Leaf Clean merger resolutions by the 
Leaf Clean shareholders. 
 
As announced by Trading Emissions earlier today, at the meeting of Trading 
Emissions shareholders held today in connection with the scheme, the resolution 
to approve the scheme was not passed by the requisite majority. Since the 
resolution was not passed, the scheme has lapsed and the merger will not 
proceed. 
 
Today's general meeting of the Company will proceed as required and in 
accordance with the notice of meeting included with the admission document sent 
to Leaf Clean shareholders on 22 January 2010 (the "Admission Document").  All 
resolutions as set out in that notice, however, will be of no effect even if 
passed given that the scheme will not become effective and the merger will not 
be proceeding. 
 
The board of Leaf Clean is confident of the Company's ability to continue to 
execute its strategy on an independent basis. Leaf Clean has a well diversified 
portfolio of 11 investments across a range of clean energy sectors including 
biomass, waste to energy, solar and wind with a balance between technology and 
project related investments. The Company has made an aggregate investment of c 
US$200 million.  Including funds committed to develop the existing portfolio, 
the Company is now substantially invested. 
 
The Company's focus is to actively manage its investments in order to maximise 
capital and income returns for shareholders. 
 
The Company notes the significant deterioration in its share price in the recent 
months and the deep discount to net asset value at which the Company's shares 
are trading.  The closing price was 62.5p on 18 February 2010 as compared to the 
net asset value per share as at 30 June 2009 of 103.8p. 
 
The Company announces that it will commit up to US$27 million to a share buyback 
which is likely to be implemented by way of a reverse auction at a maximum price 
of 65p. At the maximum price, this would equate to 14.6% of the issued share 
capital of the Company. 
 
The directors will keep the situation under review and will consider, depending 
on asset realisations and general market conditions, a further buyback programme 
of up to US$20m. 
 
At present, the Company has authority to purchase up to approximately 17.6 
million shares in accordance with the terms of the general authority granted to 
the Company by its shareholders.  The Company will seek approval from its 
shareholders to extend this authority to enable the Board to implement the above 
strategy. 
 
The Company is currently in a close period under the AIM Rules until the 
announcement of its interim results in early March and is prevented from 
repurchasing shares during this period.  Further details of the share repurchase 
programme will be announced at the same time as publication of the interim 
results. 
 
 
Further Enquiries: 
 
Leaf Clean 
 
Bran Keogh                                              (via Cenkos) 
 
Cenkos Securities plc 
 
Ivonne Cantú/Liz Bowman                           020 7397 8980 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
 MERSFDFFUFSSEIE 
 

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