Hydrogenics Received Going Concern Qualification From Independent Accounting Firm
MISSISSAUGA, ONTARIO–(Marketwire – July 10, 2009) – Hydrogenics Corporation (TSX:HYG)(NASDAQ:HYGS), a leading developer and manufacturer of hydrogen generation and fuel cell products, today announced that its consolidated financial statements for the fiscal year ended December 31, 2008, dated March 24, 2009 filed on Form 6-K on March 26, 2009 and subsequently included in the Company’s Annual Report filed on Form 20-F on June 30, 2009, contain a going concern qualification from its independent accounting firm, PricewaterhouseCoopers LLP.
Management’s plans to address the going concern issues are discussed in its Management’s Discussion and Analysis included in the Company’s Annual Report on Form 20-F. In addition, as previously announced on June 12, 2009, the Company announced that it has entered into an agreement with the trustees of Algonquin Power Income Fund (TSX:APF.UN), which, subject to various conditions will result in a non-dilutive financing to Hydrogenics with gross cash proceeds of approximately C$10.8 million, or approximately C$9.3 million net of transaction related expenses. The transaction involves a Plan of Arrangement and an Exchange Offer pursuant to which, among other things, Hydrogenics will offer to acquire all of the issued and outstanding units and convertible debentures of Algonquin Power in exchange for new securities of Hydrogenics. The transaction is subject to various conditions, including the receipt of regulatory approvals, which include the approval of The Toronto Stock Exchange and Nasdaq. The transaction is also subject to approval by the Ontario Superior Court of Justice and by shareholders of Hydrogenics.
The transaction is subject to various conditions, including the receipt of regulatory approvals, which include the approval of the Toronto Stock Exchange and Nasdaq. The transaction is also subject to approval by the Ontario Superior Court of Justice and by shareholders of Hydrogenics and unitholders of Algonquin Power.
NASDAQ Marketplace Rule 5250(b)(2) requires NASDAQ-listed companies to publicly announce through the news media the receipt of an audit opinion containing a “going concern” qualification. This announcement does not represent any change or amendment to the company’s Annual Report on Form 20-F.
ABOUT HYDROGENICS
Hydrogenics Corporation (www.hydrogenics.com) is a globally recognized developer and provider of hydrogen generation and fuel cell products and services, serving the growing industrial and clean energy markets of today and tomorrow. Based in Mississauga, Ontario, Canada, Hydrogenics has operations in North America and Europe.
