The Board of Swedish marine energy company Minesto has decided to apply for listing of the company’s shares on First North at NASDAQ Stockholm and conduct a new issue of units directed to the public in Sweden of appoximatley EUR 10 million.
Minesto’s tidal power plant, Deep Green, generates electricity from tidal and ocean currents. Since 2006 the company has invested more than EUR 20 million in the development of the unique and patented technology.
Deep Green has been producing electricity off the coast of Northern Ireland for more than two years, and is the only proven marine power plant that operates efficiently in areas with low velocity currents.
Minesto intends to use the net proceeds of the Placing to fund the company to a commercial phase.
”During last year, Minesto succeeded with its plan to secure an agreement for the first tidal park, ensuring investments of EUR 16.5 million from Wales Government and KIC InnoEnergy, secure network capacity for our project in Wales, and created the organisation we need to take the next step toward a large-scale electricity generation,” said Anders Jansson, CEO, Minesto . “This combined with the increased global interest in our products, the board and the management has decided that a listing is the next step in the development of the company.”
The funds from the issue, EUR 10 million plus a possible overallotment of an additional maximum of EUR 1.8 million, will be used to finance the commercialisation of the Deep Green. The main owners, Midroc New Technology and BGA Invest, has committed to subscribe for shares for approximately EUR 6.3 million in the issue and the remaining EUR 3.7 million is secured through a guarantee consortium syndicated by G&W Fondkommission. F
irst day of trading is scheduled for 9 th of November 2015 provided that Minesto’s application for listing is approved. The subscription period runs from 30 th of September to 21 st of October 2015.
Earlier this year Minesto secured an investment of EUR 13 million from the European Regional Development Funds through Wales Government. Recently KIC InnoEnergy decided to invest EUR 3.5 million in the company. The Swedish company is now prepared to become one the first companies in the world to build a commercial marine power plant array.
In conjunction with the unit issue to the public, an additional unit issue is conducted up to EUR 10.8 million, directed towards European institutional investors.
Prospectus for the offer will be published on September 29 th on Minesto’s website. G&W Fondkommission is Minesto’s financial advisor in connection with the unit issue and the listing.
Image: Minesto