ReNu Energy has sold its solar operations to renewable energy company, CleanPeak Energy for approximately $5.7 million.
The transaction involved the sale of the ReNu Energy subsidiaries holding the Embedded Networked Operations, Amaroo Solar PV Facility and the energy retail authorisation.
ReNu Energy has received $5.775 million for the sale, following repayment of the Amaroo loan facility ReNu Energy will increase cash holdings by $4.25 million and have no secured loans.
As a part of the transaction, ReNu Energy and CleanPeak Energy will work collaboratively during a transition period until the end of 2019, so as to ensure the seamless transfer of the solar PV assets and operations to CleanPeak Energy.
ReNu Energy has been seeking alternative means to reduce operating costs and capitalise the business.
The sale of the solar PV operations has provided ReNu Energy with the immediately necessary capital to continue operations, whilst also allowing it to address its geothermal exploration program remediation obligations in the Cooper Basin and repay current debt.