LSE-listed firm AEG raises £1.75m to help accelerate roll-out of CoalSwitch biomass fuel
Active Energy Group (AEG), a London Stock Exchange-listed firm and renewable energy specialist, has announced that it has completed an oversubscribed placing totalling £1.75 million (€1.97m) through the issue of 83,333,334 new ordinary shares of 1p each at a price of 2.1p per share from new and existing investors.
The net funds raised will be used to accelerate the international commercial roll-out of its CoalSwitch biomass fuel and for working capital.
Active Energy, through its affiliate Advanced Biomass Solutions, continues to make significant progress in the commercialisation of CoalSwitch, the company said.
The group recently received a huge commercial endorsement for CoalSwitch when ABS entered into an agreement with Lumino Capital for the financing, development and operation of eight 20 to 30 tonnes per hour CoalSwitch plants across Southeast Asia. More detailed information relating to this agreement was announced in the group's announcement of 21 September 2017.
Michael Rowan, Active Energy’s non-executive chairman, said: "CoalSwitch is a game-changing biomass product that we believe has the potential to transform the energy sector.
“The support from new and existing shareholders for our roll out strategy, which we want to accelerate due to the high levels of interest we are receiving, is a great endorsement.
"We believe this is a transformational period for the Group. We have a robust outlook and exciting market opportunities are emerging for both ABS and Timberlands.
“I'd like to thank existing shareholders for their continued support and welcome the new shareholders that have participated in the placing. I look forward to providing them with regular updates as we progress both the roll-out of CoalSwitch and the advancement of the forestry management business in the coming months."
The company also made a statement on its AEG’s Timberlands International affiliate.
Earlier this month, the company said it had submitted all final documents for a Crown Timber Licence and Forestry Management Agreements on the Forestry Management Districts 17 and 18.
It is still waiting on feedback from the Ministry of Fisheries and Land Resources.