The Board of Directors of Plutus PowerGen Plc (AIM:PPG) announced the spin-off of Plutus Energy Limited on October 9, 2020. Under the terms of the transaction, the demerger transaction will be affected by subdivision of every ordinary share into one new ordinary share and nine deferred shares, Plutus Energy Shares will be issued to Plutus PowerGen Plc, a bonus issue of Plutus B ordinary shares to shareholders on a one for one basis and post- reduction in Plutus' share capital shareholders of Plutus PowerGen Plc, will receive one Plutus Energy share for each Plutus B ordinary share. Post-demerger, each holder of 1 ordinary share will hold 1 ordinary share in Plutus Energy and 1 new ordinary share in Plutus PowerGen Plc. On completion, Plutus PowerGen Plc would continue to hold the Plutus Energy Investment portfolio which it intends to dispose of in due course once the relevant consents have been received. The record date for Demerger is November 20, 2020. The transaction is subject to approval of Plutus PowerGen shareholders of the resolutions at the general meeting to be held on November 3, 2020 and confirmation of a reduction of capital by the High Court of Justice of England and Wales, with a court hearing scheduled for November 24, 2020. The demerger requires the approval of more than 50% of the ordinary shares voted at the general meeting. On October 9, 2020, the Board of Directors of Plutus PowerGen Plc unanimously recommend that shareholders vote in favor of the transaction. The demerger is expected to close between November 27, 2020 and December 11, 2020. Nick Athanas, Nick Naylor and James Hornigold of Allenby Capital acted as the financial advisor and joint broker for Plutus PowerGen Plc.