Hansen signs non-binding Letter of Intent
May 10, 2016 – Hansen Technologies Limited (ASX:HSN) is pleased to announce it has executed a non-binding Letter of Intent with PPL Energy Funding Corporation (a subsidiary of NYSE listed PPL Corporation) to acquire PPL Solutions, LLC (“Solutions”). Solutions, located in Bethlehem, Pennsylvania, provides billing services, business processing outsourcing and information technology services to competitive electric and gas suppliers and regulated utilities in the US.
Under the terms of the Letter of Intent, Hansen and PPL have reached an in principle agreement for Hansen to acquire 100% of the share equity of Solutions. Hansen’s decision to announce this non-binding Letter of Intent comes as a result of PPL’s obligation to discuss and disclose the potential sale of Solutions to both customers and staff. The acquisition remains subject to the satisfactory completion of due diligence, Board approval, the execution of a mutually agreeable Purchase and Sale Agreement, and other closing conditions. Subject to meeting these requirements, the transaction is targeted to close within the next 60 days. If the transaction proceeds, Solutions is expected to represent approximately 5% of the combined Hansen worldwide earnings before interest, tax, depreciation and amortisation (EBITDA), and the acquisition can be funded from Hansen’s internal cash resources.