- Renewable energy company Genex Power (GNX) has successfully raised $21.276 million through a placement
- More than 96 million shares will be issued to existing and new sophisticated and institutional shareholders at a price of 22 cents each
- Given the strong demand for the placement, the company will now be undertaking a share purchase plan (SPP) to raise an additional $7 million
- Genex will use the money from the placement and SPP to fast track its Como Battery Project, and pay the financial close costs for the Kidston Hydro Project
- The money will also be used for working capital and costs associated with the placement and share purchase plan
- Genex has ended the day 9.43 per cent in the red with shares trading for 24 cents each
Renewable energy company Genex Power (GNX) has successfully raised $21.276 million through a placement.
The company first entered a trading halt on August 6 – before announcing the succesful placement today
A total of 96,712,552 new fully paid shares will now be issued to existing and new sophisticated and institutional shareholders at a price of 22 cents each.
This price represents a 17 per cent discount to the last trading price of 26.5 cents on August 7, an 18 per cent discount to the five-day volume weighted average price of 26.84 cents, and a 14.8 per cent discount to the 15-day volume weighted average price of 25.82 cents.
The placement is expected to be completed on August 14, with shares to be issued on August 17.
Given the strong demand for the placement, Genex said it will now be undertaking a share purchase plan to raise an additional $7 million.
Eligible shareholders will be able to subscribe for up to $30,000 worth of shares at the same price of 22 cents each.
The share purchase plan is expected to open on August 18 and close of August 26. Shares will then be allocated on September 2.
Genex will use the money from the capital raises to fast track its Como Battery Project, and pay the financial close costs for the Kidston Hydro Project.
The money will also be used for working capital and costs associated with the placement and share purchase plan.
“We are particularly excited about the development potential of the Como Battery project in Queensland, with the funds raised from the placement and share purchase plan to be used to fast track the delivery of this strategy to potentially see it contributing to our revenues during the next calendar year,” Genex CEO James Harding commented.
Genex has ended the day, August 10, 9.43 per cent in the red, with shares trading for 24 cents each in a $106.4 million market cap.