Chariot Limited announces strategic review of its Transitional Power Division

LONDON: Chariot Limited (AIM: CHAR), a company at the forefront of Africa’s transitional energy sector, has declared the commencement of a strategic review for its Transitional Power division.

This division is dedicated to delivering sustainable power and water solutions across Africa, with a particular emphasis on renewable energy projects and electricity trading.

Since its inception in 2020, Chariot Limited has diversified its portfolio to include natural gas, renewable energy, and green hydrogen projects. With the growth of these sectors, the company has drawn interest from various capital sources. The

Transitional Power division, now concentrating on the South African energy market, is in need of immediate and future funding to achieve its full potential. The management team is actively exploring debt and equity financing options at the subsidiary level and has garnered preliminary interest from investors specializing in the South African market.

While the outcome of these financing efforts remains uncertain, the company’s leadership has initiated this strategic review to evaluate all possible avenues. These may range from a complete or partial sale to a demerger of the Transitional Power business, or it may continue to operate within the Chariot group. The overarching goal of this review is to enhance shareholder value for Chariot Limited.

The company has also confirmed that its Green Hydrogen division will not be affected by this review and will continue as a core part of the group. Management is also seeking financing solutions for this division at the subsidiary level.

Chariot Limited has made it clear that there is no assurance that this strategic review will lead to any specific transaction. However, the management team is committed to thoroughly assessing all options and will keep the shareholders informed of any significant developments.

Adonis Pouroulis, CEO of Chariot: “I am very proud of our work across our Transitional Power division and wider business over the past three years. In light of the impending funding requirements needed to deliver projects from the portfolio, we believe that launching this strategic review is in the best interests of all stakeholders as we look to realise value from this division whilst enabling it to continue its ongoing growth and development.

This review comes at a time of renewed focus on our near-term natural gas development assets in Morocco with the medium-term ambition of returning capital to shareholders from gas revenues.”

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