Etrion Corp (TSE:ETX) expects to be able to close the sale of all of its assets by the end of June, the solar company said today, releasing first-quarter (Q1) results.
Etrion owns 57 MW of operating solar capacity and a 45-MW project under construction, all located in Japan.
In March, it agreed to sell three operating solar parks totalling 47.2 MW to a Japanese consortium. It is negotiating the sale of its fourth operating project, which is currently being repaired after winter storms, to a fourth buyer associated with the same consortium. A deal for the sale of the 45-MW under-construction project to a different local consortium was announced in April.
"I am pleased with the progress we have made on the negotiations to sell the Japanese assets. While these are very complex transactions, I am confident we will achieve the closing of these transactions before the end of June 2021," said chief executive Marco Northland.
In the first quarter of 2021, the company's corporate segment recorded a net loss of USD 2.5 million (EUR 2.1m), compared to a net loss of USD 2.1 million a year earlier, impacted by costs related to the sale process and lower capitalised development costs.
At the end of the quarter, Etrion had an unrestricted cash balance at the corporate level of USD 4.9 million. It also ended the quarter with negative working capital of USD 1.6 million, after excluding the Japanese assets held for sale.
Generation from the company's portfolio fell 10.4% year-over-year to 11.2 GWh as a result of the damage caused by snowfalls to the Misawa solar park and unfavourable weather conditions. The Misawa solar park is expected to be fully restored by June.
Consolidated revenues from the Japanese discontinued operation declined 8.2% to USD 3.9 million.
(USD 1.0 = EUR 0.831)
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