Worcester, MA – February 20, 2014 – World Energy Solutions, Inc. (NASDAQ: XWES), a leading energy management services firm, today announced that representatives of the Company, under the guidance of the Board of Directors, have engaged in preliminary discussions with representatives of Ardsley Partners regarding the size, structure and membership of the Company’s Board of Directors, and will continue to explore these discussions. In connection with this, Dr. Edward Libbey, Chairman of the Board, explained, “While the issues outlined in Ardsley’s letter of January 9, 2014 are matters that we routinely examine and act upon, we take stockholder concerns seriously. In that regard, we hope that an ongoing dialogue with Ardsley will be productive.” Dr. Libbey also noted, “Regardless of the outcome of discussions with Ardsley, our Board will continue to review these matters and intends to give strong consideration to the size, structure and membership of the Board, as well as ongoing transition considerations for our Board.”
The Company also announced that it has retained Canaccord Genuity as its financial advisor to assist the Board in performing a review of the Company’s strategic alternatives, as well as to advise the Company with respect to certain transactions that may ultimately be pursued as a result of such review. Dr. Libbey explained, “We believe that new opportunities to lead and deliver value in the energy business continue to unfold with changes in regulation, state mandates, new sector financing incentives and technology. Our Board felt that it was important to engage a financial advisor to assist the Board in performing a comprehensive review of the Company’s strategic alternatives as we evaluate the Company’s business and these opportunities.”
The Company notes that no decision had been made to pursue any transaction and that there can be no assurance that the strategic review process will result in the completion of any particular course of action or transaction. Dr. Libbey concluded, “This Board remains enthusiastic about the unique capability of World Energy’s technology to reduce energy costs for our clients. The measures described in this release are in concert with our responsibilities and are intended to help ensure the success of the Company in the energy marketplace and deliver value to our shareholders.”
About World Energy Solutions, Inc. World Energy Solutions, Inc. (XWES) is an energy management services firm that brings together the passion, processes and technologies to take the complexity out of energy management and turn it into bottom-line impact for the businesses, institutions and governments we serve. To date, the Company has transacted more than $40 billion in energy, demand response and environmental commodities on behalf of its customers, creating more than $2 billion in value for them. World Energy is also a leader in the global carbon market, where its World Energy Exchange® supports the Regional Greenhouse Gas Initiative (RGGI), the first mandatory market-based regulatory program in the U.S. to reduce greenhouse gas emissions. For more information, please visit www.worldenergy.com.
This press release contains forward-looking statements, including statements regarding the size, structure and membership of the Company’s Board of Directors and statements regarding the review of strategic alternatives. The words “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “will,” “would” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. The Company has based these forward-looking statements on its current expectations and projections about future events, including without limitation, its expectations of backlog and energy prices. Although the Company believes that the expectations underlying any of its forward-looking statements are reasonable, these expectations may prove to be incorrect and all of these statements are subject to risks and uncertainties. Should one or more of these risks and uncertainties materialize, or should underlying assumptions, projections or expectations prove incorrect, actual results, performance or financial condition may vary materially and adversely from those anticipated, estimated or expected. Such risks and uncertainties include, but are not limited to the following: the Company’s revenue and backlog are dependent on actual future energy purchases pursuant to completed procurements; the demand for the Company’s services is affected by changes in regulated prices or cyclicality or volatility in competitive market prices for energy; the potential impact on the Company’s historical and prospective financial results of a change in accounting policy may negatively impact its stock price; and other factors outside the Company’s control that affect transaction volume in the electricity market. Additional risk factors are identified in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012 and subsequent reports filed with the Securities and Exchange Commission. The forward-looking statements made in this press release are made as at the date hereof. The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events, other than as required by securities laws.