Just Energy Group provides update on CCAA process and
CCAA stay period extended to September 30, 2021
Conditional approval received for listing of common shares on the TSX Venture Exchange
Trading on the TSX Venture Exchange is expected to begin in early June
TORONTO, May 26, 2021 (GLOBE NEWSWIRE) – Just Energy Group Inc. (“Just Energy” or the “Company”) (OTC: JENGQ), a retail energy supplier specializing in electricity and natural gas products and providing energy efficient solutions and renewable energy options to customers, today announced that the Ontario Superior Court of Justice (Commercial Role) (the “Search“), Inter alia, extended the period of stay by virtue of Companies’ Creditors Arrangement Act (Canada) (“CCAA») As of September 30, 2021.
The Company uses the extended stay period to focus on growing the business and to continue to engage with key stakeholders, with a view to implementing an emergence plan that maximizes value. In addition, the company continues to explore and develop options regarding invoices received from the Energy Reliability Council of Texas (“ERCOT“) Linked to the extreme weather event in Texas in February (the”Meteorological event”), Including potential legislation, the dispute resolution process initiated by the Company with ERCOT and any disputes. The total financial impact of the weather event on society may change due to the enactment of legislation, the outcome of the dispute resolution process, and successful legal challenges.
The Company was also advised by the lenders in connection with the debtor loan in possession of US $ 125 million (theDIP lenders”) Composed of OC II VS XIV LP (“OC II“), A Delaware limited partnership and certain other funds under common management with OC II (collectively, the”Funds), That OC II has filed an amended early warning report in accordance with Canadian securities laws to provide updated information on the plans of the Funds with respect to their current investment in Just Energy and their potential participation in the restructuring of the company, available at www.sedar.com under the issuer profile of Just Energy.
In addition, Just Energy has already announced its intention to file an application on the TSX Venture Exchange (the “TSX-V“) to transition its common shares from the Toronto Stock Exchange to TSX-V. The company has received conditional approval to list its common shares on TSX-V and trading is expected to commence early of June.
“Just Energy remains focused on its commitment to our customers and driving innovation across our business, while continuing to advance its restructuring plans,” said Scott Gahn, President and CEO by Just Energy. Mr. Gahn added: “We believe there are significant opportunities to expand our business in our key markets.”
Due to the ongoing CCAA process, the company also announced that the court has approved the postponement of its annual meeting of shareholders until further notice.
Just Energy will provide additional updates as and when developments occur. Further information regarding CCAA proceedings is available on the Monitor’s website at http://cfcanada.fticonsulting.com/justenergy. Information regarding CCAA proceedings may also be obtained by calling the Monitor’s hotline at 416-649-8127 or 1-844-669-6340 or by emailing [email protected].
About Just Energy Group Inc.
Just Energy is a retail energy supplier specializing in electricity and natural gas products, providing customers with energy efficient solutions and renewable energy options. Currently present in the United States and Canada, Just Energy serves residential and commercial customers. Just Energy is the parent company of Amigo Energy, Filter Group Inc., Hudson Energy, Interactive Energy Group, Tara Energy and Terrapass. Visit https://investors.justenergy.com/ to learn more.
This press release may contain forward-looking statements, including statements regarding Chapter 15 proceedings of the CCAA and the United States; the Company’s ability to develop its activities in key markets and to implement an emergence plan that maximizes value; the Company’s options regarding invoices received from ERCOT and their potential financial impact; the listing of the Common Shares on the TSX-V and its timing; the availability of potential restructuring alternatives; and whether there are any government or regulatory actions associated with the weather event. These statements are based on current expectations which involve several risks and uncertainties that could cause actual results to differ from those anticipated. These risks include, but are not limited to, risks relating to: the ability of the Company to continue as a going concern; the outcome of proceedings under the CCAA and similar laws in the United States; the outcome of any legislative or regulatory action; the outcome of any invoice dispute with ERCOT; the outcome of a potential dispute related to the weather event; the amount of the financial loss to the company as a result of the weather event and its impact on the liquidity of the company; the company’s discussions with key stakeholders regarding the weather event and its outcome; the impact of the evolution of the COVID-19 pandemic on the company’s business, operations and sales; dependence on suppliers; uncertainties relating to the ultimate spread, severity and duration of COVID-19 and the related negative effects on the economies and financial markets of the countries in which the Company operates; the company’s ability to successfully implement its business continuity plans with respect to the COVID-19 pandemic; the company’s ability to access sufficient capital to provide liquidity to manage its cash requirements; general economic, business and market conditions; management’s ability to execute its business plan; customer consumption levels of natural gas and electricity; extreme weather conditions; customer addition and renewal rates; customer credit risk; customer attrition rate; fluctuations in the prices of natural gas and electricity; interest and exchange rates; actions taken by government authorities, including regulation of energy marketing; tax increases and changes in government regulations and incentive programs; changes in regulatory regimes; the results of litigation and decisions of regulatory authorities; competition; and dependence on certain suppliers. Additional information on these and other factors that could affect the business or financial results of Just Energy is included in Just Energy’s annual information form and in other reports filed with Canadian securities regulators, available on the SEDAR website at the following address: www.sedar.com on the US Securities and Exchange Commission website at www.sec.gov or through the Just Energy website at www.justenergygroup.com.
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Telephone: 416-649-8127 or 1-844-669-6340
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Source: Just Energy Group