ReNu Energy (ASX:RNE) eyes $1.46M for acquisitions

• ReNu energy (RNE) has received firm commitments to undertake a $1.46 million placement
• More than 26.5 million new shares will be issued to professional and sophisticated investors at 5.5 cents
• Subject to shareholder approval, participants will also receive one attaching option for every two shares subscribed for, exercisable at 7 cents with expiry on December 31, 2023
• ReNu will use the funds to progress its investment and acquisitions and finalise discussions with a renewable energy technology company
• Shares in ReNu are up 8.06 per cent on the market and are trading at 6.7 cents

ReNu energy (RNE) has received firm commitments to undertake a $1.46 million placement.

The company entered a trading halt on May 31 but did not disclose how much it intended to raise or what it would use the funds for.

All up, 26,552,581 new shares will be issued to professional and sophisticated investors at 5.5 cents.

Participants will also receive one attaching option for every two shares subscribed for, exercisable at 7 cents with expiry on December 31, 2023.

However, this is subject to shareholder approval which will be sought after at ReNu’s upcoming extraordinary general meeting.

Once received, ReNu will use the funds to progress its investment and acquisitions and finalise discussions with a renewable energy technology company.

“The funds raised from this placement will be used to strengthen the company’s financial position in anticipation of executing a strategic investment in the renewable energy sector,” CEO Greg Watson commented.

“The company sees opportunities to create value by focusing on a clean-energy incubator strategy, by taking strategic stakes and nurturing renewable energy projects, including hydrogen, moving to either a controlling interest, supporting through to an initial public offering process or exiting via sale,” he added.

Shares in ReNu are up 8.06 per cent on the market and are trading at 6.7 cents at 12:01 pm AEST.