PowerHouse Energy raises fresh funds via direct subscription of shares

PowerHouse raised fresh funds via a direct subscription of shares to hire new staff and bolster its financial flexibility in the wake of the referendum vote.

The waste to energy systems provider generated £250,000 via the issue of 38,461,538 new ordinary shares which were expected to begin trading on AIM on or around 21 July.

Keith Allaun, Executive Chairman of Powerhouse said, “As we move to completion of final testing and commissioning of the G3-UHt System in Brisbane, we’ve made the decision to expedite the hiring of several key project management and business development staff to support the Company’s commercial roll-out.

"Acquiring this additional capital will afford us greater flexibility, and allow us to respond to potential customer requests far more rapidly. We are confident that this infusion will see us through our next stage of development as a Company. With the uncertainty surrounding Brexit and potential market conditions, the Board and I believe that this move is in the best interests of the Company and our Shareholders.”

The new shares were equivalent to roughly 6.3% of the company's now enlarged issued share capital.

Instead of being directed towards landfills and incinerators, the company's technology allowed energy recovery from municipal waste streams or enewable and alternative fuels such as biomass, lignite (brown coal), tires, and plastics to create syngas for power generation or reformed into liquid fuels for transportation.

As of 16:15 BST shares in AIM-listed PowerHouse were rising by 6.67% to 0.80p.