Proton Motor Power Systems plc (AIM: PPS), the designer, developer and producer of electric hybrid systems with a zero-carbon footprint, announces that it has received notification from the Company's principal lender (the "Lender"), stating that the Company's working capital requirements will only be supported until 31 December 2024.
Proton Motor has historically been reliant on the support of the Lender and parties connected to him, for the provision of loans under debt facilities (the "Facilities") to fund the ongoing working capital requirements of the Company. As at 31 July 2024, the Company had debt facilities totalling €121.5 million, of which €110.4 million was drawn, as well as accrued interest under the Facilities of €37.8 million.
All of the Facilities are repayable in full by 31 December 2025. The Directors consider that, based on the correspondence received from the Lender, the Company has access to funding under the Facilities that will be sufficient for the Company's working capital requirements until at least the end of 2024.
The Directors have been in discussions with other potential sources of finance and, in light of this new development, will accelerate those discussions in order that the business can continue as a going concern. Further announcements will be made in due course.
