Lyon’s decision to place one of its development companies (Lyon Infrastructure Investments 1 Pty Ltd and its subsidiaries) into voluntary administration has achieved its objective.
On 25 September 2019, creditors of the entities resolved that the entities should execute Deeds of Company Arrangement (DOCAs) proposed by the directors.
The directors will now complete the sale of Lyon’s Cape York, Riverland and Nowingi integrated solar and battery storage projects.
Several major global energy companies are shortlisted to buy and build the three projects.
Lyon Infrastructure Investments 1 Pty Ltd is one of a number of companies within the Lyon Group. The directors appointed Deloitte as voluntary administrator on 6 May 2019, to prevent ongoing destabilisation by an activist minority shareholder of one of Lyon’s entities and to provide a clear pathway to complete the sale of the projects.
Separately, Lyon Group has continued to expand consistent with its strategy, while isolating this issue to Lyon Infrastructure Investments 1 Pty Ltd (and subsidiaries).
The project sale process undertaken by Deloitte demonstrated the level of international interest in Lyon and its projects, in particular how Lyon’s project design philosophy addresses curtailment risks, an increasingly critical issue for leading global utilities.