- Fluence Corporation has successfully raised $36 million to fund its continued expansion into China
- The company recently opened a second factory in China to meet the growing wastewater treatment needs of millions
- A total of 81.8 million shares were issued at a price of 44 cents per share to raise the funds
- Fluence is also offering a share purchase plan at the same price of 44 cents per share to raise an additional $6 million
- Fluence dropped 8.91 per cent and is selling shares for 46 cents apiece
Fluence Corporation has successfully raised $36 million to fund its continued expansion into China.
The company issued 81.8 million shares to sophisticated and professional institutional investors at a price of 44 cents per share.
Funds from the placement will be used to expand its MABR (membrane aerated biofilm reactor) sales in China, support geographic expansion, optimise the business’ cost structure and for general corporate purposes.
Fluence is a leader in the decentralised water, wastewater and reuse treatment markets, with its smart products solutions including Aspiral, NIROBOX and SUBRE.
Managing Director Henry Charrabé is appreciative by the continued support from investors and welcomes the new investors.
“A substantial portion of the capital raised by the placement will fund the increases in assembly capacity and working capital necessary to drive future growth related to the three significant partnerships announced in China for our proprietary MABR products,” Henry said.
“Additionally, we are encouraged by demand for our pre-engineered Smart
Products Solutions in other geographies and will use a portion of the proceeds for expansion of our sales efforts in target markets,” he added.
MABR provides an energy-efficient alternative with the company claiming it can slash energy costs up to 90 per cent.
Recently the company opened a second factory in China, to meet the growing wastewater treatment needs of millions.
“We believe the water and wastewater treatment market has reached an inflection point of accepting our decentralised solutions and that now is the right time to capitalise on this momentum by fortifying the balance sheet and accelerating execution of the strategic vision,” Henry commented.
“The successful outcome of this placement will benefit Fluence in further strengthening its leadership position in the decentralised water and wastewater segment around the world,” he added.
Evans Dixon Corporate Advisory and Petra Capital acted as Joint Lead Managers and Bookrunners to the placement.
Fluence is also offering a share purchase plan to eligible shareholders, at the same price of 44 cents per share, to raise up to a further $6 million, before costs.
Fluence dropped 8.91 per cent and is selling shares for 46 cents apiece at 2:52pm AEDT.