Sprott Power Provides Management Transition Update
TORONTO, Feb. 1, 2013 /CNW/ - Sprott Power Corp. (TSX:SPZ) (the "Corporation") announces that it has appointed one of its independent directors, Glen Estill, to serve as the Corporation's Lead Director during the period of transition.
To assist with the transition to internalization of the Corporation's management disclosed earlier this week, John Varghese, Chairman of the Board of Directors of the Corporation (the "Board"), has been asked to assist more directly in the previously announced Strategic Review process and the internalization of management transition. During this time, Mr. Estill, a current director of the Corporation, will be tasked with providing effective independent leadership of the Board of Directors. Mr. Estill will ensure that the Board's current agenda and duties will be successfully carried out on behalf of the shareholders. In addition, Mr. Estill will assist in the internalization of management transition.
"We are pleased that Mr. Estill has agreed to step into the role of Lead Director during this critical juncture in the Corporation's evolution," said Jeffrey Jenner, Director, President and Chief Executive Officer of the Corporation.
Mr. Estill is an experienced developer of wind construction projects, with a strong understanding of Ontario's electricity system and policy environment. He has over 25 years experience in management positions including 5 years as CFO and Vice President of a public company, EMJ Data Systems. Mr. Estill holds his Bachelor of Economics and Master of Business Administration from the University of Western Ontario.
Mr. Jenner continues in his role as the Corporation's President and Chief Executive Officer. The Board is confident in Mr. Jenner's abilities and is pleased that he is continuing as President and Chief Executive Officer of the Corporation. Sprott Power Consulting LP ("SPCLP"), the outsourced management firm on which the Corporation has been relying for management services, asserts that the employees of SPCLP, including Mr. Jenner, who are providing services to the Corporation under the management services agreement between the Corporation and SPCLP, are subject to non-compete covenants under the terms of their employment with SPCLP. As a result, there is an issue as to whether the employees can work for the Corporation after the management services agreement is terminated or their employment is terminated by SPCLP. The Corporation questions the enforceability of these covenants. In any event, the Corporation is confident that it will be able to ensure that the services provided by SPCLP are performed after the period of transition.
The Corporation also announces the appointment of Mary Lou McDonald as Corporate Secretary to the Corporation. Ms. McDonald has been acting as legal counsel to the Corporation since joining over one year ago. Ms. McDonald has previously served as General Counsel and Corporate Secretary for Algonquin Power & Utilities Corp.
The Corporation also announces that it is taking steps to change its name.
About Sprott Power Corp.
The Corporation is a Canadian based public company dedicated to the development and financing of renewable energy projects. Through acquisitions, partnerships and joint ventures, the Corporation seeks to provide its shareholders with exposure to the power generation sector. For more information on the Corporation's website at www.sprottpower.com.
Certain information contained in this press release may constitute "forward-looking information" which reflects the current expectations of the Corporation, including its ability to complete its co-development agreements and the development of its projects, to effect a smooth transition from outsourced management to internalized in-house management, and to carry out the strategic review process. This information reflects the Corporation's current expectations with respect to future events and is based on information currently available to the Corporation. Forward-looking information involves significant known and unknown risks, uncertainties and assumptions. Many factors could cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking information including, without limitation, the risks listed under the heading "Risk Factors" in the Corporation's Annual Information Form dated March 26, 2012. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking information contained in this release. Although forward-looking information contained in this release is based upon what the Corporation believes to be reasonable assumptions, the Corporation cannot assure investors that actual results, performance or achievements will be consistent with this forward-looking information. The forward-looking information is made as of the date of this release and the Corporation does not assume any obligation to update or revise it to reflect new events or circumstances, except as required by law.
SOURCE Sprott Power Corp.