- BidEnergy (BID) has received firm commitments to raise $15 million via a fully underwritten institutional placement
- Roughly 14 million fully-paid ordinary shares will be issued to institutional and sophisticated investors at $1.07
- This price represents an 8.1 per cent discount to the 10-day volume-weighted average price
- BidEnergy will use the money to fund the acquisition of U.K.-based energy software company, Optima Energy Management
- Shares in BidEnergy are up 5.17 per cent on the market and are trading at $1.22
BidEnergy (BID) has received firm commitments to raise $15 million via a fully underwritten institutional placement.
Roughly 14 million fully-paid ordinary shares will be issued to institutional and sophisticated investors at $1.07.
This price represents a 7.8 per cent discount to BidEnergy’s last trading price of $1.16 on December 2, and an 8.1 per cent discount to the 10-day volume-weighted average price.
Shares are expected to settle on or around December 10.
BidEnergy will use the money to fund the acquisition of Optima Energy Management Holdings, U.K. and European Union sales, marketing costs, and general working capital.
BID will acquire Optima for £5.4 million (around A$9.77 million) with £3.2 million (around A$5.79 million) to be paid in cash upfront.
The remainder will be in the form of 3.384 million shares, issued at $1.16 each.
“We are very pleased by the support shown for Bid from new and existing investors. I would like to thank our existing shareholders for their continued support, and also wish to welcome new shareholders to the Bid register,” Managing Director Guy Maine said.
“We see the U.K. and European markets as an enormous opportunity for Bid. The acquisition of Optima will accelerate our penetration of the U.K. market, and reinforce our strategy to pursue additional expansion opportunities into Europe,” he added.
BidEnergy is up 5.17 per cent on the market and shares are trading at $1.22 at 1:14 pm AEDT.