EdgePower currently provides lighting and HVAC controls, as well as enterprise monitoring, in hundreds of commercial buildings in North America and has strong relationships with its customers.
Just Energy Co-CEO Deborah Merril said: “EdgePower provides Just Energy an innovative technological capability that will enhance our commercial customers’ experience and advance how we partner with our customers to solve their changing energy management needs. EdgePower can integrate energy data across multiple sites into one platform, giving customers the ability to easily optimize energy consumption using a single interface.
“Adding EdgePower will assist Just Energy to comprehensively build out an Energy Management Solutions platform in the commercial space and create synergies with Just Energy’s lighting systems and commercial commodity business. We are very excited by this transaction and to work closely with the team at EdgePower, including Nate Glasgow, the current CEO, and Karl Swanson, the current COO, who will remain with the business following the acquisition.”
EdgePower CEO Nate Glasgow said: “We look forward to rapidly growing the business by combining EdgePower’s technology with Just Energy’s customer base and sales expertise.”
The aggregate consideration payable by Just Energy under the Purchase Agreement is (i) $14 million at closing, subject to customary adjustments, to be paid as to approximately $7 million in cash and $7 million by the issuance of Just Energy common shares, $3 million of which will be subject to a three year escrow hold period; and (ii) a one-time performance based payout after three years of up to a maximum of $6 million, subject to annual and cumulative performance thresholds.
Closing of the acquisition is expected to occur on or about February 28, 2018 and is subject to the satisfaction or waiver of a number of conditions customary in acquisition transactions of this nature, including the approval of the Toronto Stock Exchange and the New York Stock Exchange to list the Common Shares thereon.
