Hydrogen Utopia International PLC (LSE:HUI, OTCQB:HUIPF) has received updated financial information from Essential Energy Holding Group Corp following the heads of terms agreement signed in February for the proposed acquisition of Essential Energy.
Initial announcements highlighted Essential Energy as “a substantial and profitable international bio-energy company” with revenues in excess of €365 million (£310.4 million) and profits before taxes of €40 million (£34 million).
These figures were provided by Essential Energy's chief executive and chief financial officer.
The proposed acquisition price was approximately £500 million, pending due diligence and other conditions, including an independent valuation.
However, the newly received financial information raises “a number of queries” that “could have a material effect on the valuation of Essential Energy”, Hydrogen Utopia today stated.
“There can be no guarantee at this stage that the proposed acquisition will complete nor as to the final terms of the proposed acquisition,” added the group.
Hydrogen Utopia said it will make further announcements “as appropriate”.