Powerhouse Energy raises £5.0m via placing and subscription
Powerhouse Energy Group
1.15p
12:35 24/12/24
Waste-to-hydrogen group Powerhouse Energy has raised £5.0m by way of a placing and subscription of 160.0m new ordinary shares at a price of 2.5p each.
Equity Investment Instruments
12,191.67
12:54 24/12/24
FTSE AIM All-Share
717.40
13:14 24/12/24
Powerhouse said on Wednesday that the fundraising would provide it with the necessary cash resources to reach profitability and implement its wider strategy for international growth.
The AIM-listed group will also issue a further 40.0m ordinary shares to Peel Holdings and granted the company a warrant to approximately £10.2m for as much as 10% of the company at a 10% premium to the issue price.
Powerhouse added that the funds would be used to refine technical aspects and assist Peel in delivering the first of a number of potential collaborative developments.
Chief executive David Ryan said: "We are delighted to have attracted an international institutional fund as an investor and that Peel, already a key commercial partner, has also chosen to engage in this fundraise and demonstrated commitment by taking a warrant over 10% of the company and become a cornerstone investor in Powerhouse. The investment cements the already close relationship between the two companies."
As of 0915 BST, Powerhouse shares were down 3.33% at 2.90p.