30 Dec 2016 11:21
This announcement contains inside information
30 December 2016
redT energy plc
("redT" or the "Company")
Result of Extraordinary General Meeting and Open Offer
redT energy plc, the energy storage technology company, is pleased to announce that at the extraordinary general meeting of the Company, held earlier today, the resolution proposed (the "Resolution") was duly passed.
The Company announced on 8 December 2016 that it had conditionally raised gross proceeds of £12 million (before expenses) from institutional and other investors through a proposed issue of 150,000,000 Placing Shares (the "Placing") at a price of 8 pence per share (the "Placing Price"). The Company also announced that it proposed separately to make an Open Offer to all Qualifying Shareholders to enable Qualifying Shareholders to have the opportunity to participate in the capital raising process at a price equivalent to the Placing Price.
redT is pleased to confirm that it has received valid acceptances in respect of 11,950,401 Open Offer Shares pursuant to Qualifying Shareholders' Open Offer Entitlements and a further 14,823,973 Open Offer Shares pursuant to Qualifying Shareholders' Excess Open Offer Entitlements. Qualifying Shareholders who validly applied for Open Offer Shares pursuant to their Open Offer Entitlement and Excess Open Offer Entitlement will receive the full amount of Open Offer Shares applied for. A total of 26,774,374 Open Offer Shares will therefore be issued to Qualifying Shareholders, which will provide the Company with additional gross proceeds of approximately £2.14 million (before expenses).
The remaining 9,220,156 Open Offer shares have all been placed, in accordance with the terms set out in the Circular, with new and other existing investors at the issue price of 8 pence per Ordinary Share (the "Second Placing"), raising gross proceeds of approximately £0.74 million (before expenses). Consequently, the total gross proceeds of the Second Placing, which was oversubscribed, and Open Offer are approximately £2.88 million.
Following the passing of the Resolution, the Placing, the Open Offer and the Second Placing (the "Fundraising") will now proceed to completion. Application has been made for admission of 185,994,530 new Ordinary Shares, to be issued pursuant to the Fundraising, to trading on AIM ("Admission"), with Admission expected to become effective at 8.00 a.m. on 3 January 2017.
The results of the poll vote on the resolution are as follows:
Description | Votes For | % Cast* | Votes Against | % Cast | Votes Withheld**
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To allot and issue New Ordinary Shares in connection with the Placing and Open Offer and to disapply pre-emption rights in the Company's articles of association from such issue | 200,451,396 | 100% | 0 | - | 0 |
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Number of holders voting | 50 |
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* In order to be effective, a special resolution must be passed by a majority of not less than two thirds of votes cast whether in person or by proxy
** A vote withheld is not a vote in law and is not counted in the calculation of the votes for or against a resolution
Further details of, inter alia, the background to and reasons for the Fundraising are set out in the circular which was posted to shareholders in connection with the Resolution (the "Circular"). All capitalised terms in this announcement are as defined in the Circular which is available on the Company's website www.redtenergy.com.
Following Admission, redT's total issued and voting share capital will comprise 653,923,424 Ordinary Shares. This figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, securities of the Company.
Scott McGregor, CEO, commented:
"I would like to thank all our shareholders, both new and existing, for their continued support, not only on this Placing and Open Offer but throughout the course of the year. With a newly strengthened balance sheet, we will focus our attention purely on delivery of our business plan.
I look forward to updating all our stakeholders on redT's progress over the course of 2017."
Contact Details:
redT energy plc | +44 (0)207 061 6233 |
Scott McGregor, Chief Executive Officer Joe Worthington, Investor & Media Relations |
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Cenkos Securities plc (Nominated Adviser & Broker) | +44 (0)131 220 6939 |
Nick Tulloch Derrick Lee |
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VSA Capital Limited (Placing Agent) Andrew Monk Andrew Raca
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+44 (0)20 3005 5000 |
Celicourt (Financial PR) | +44 (0)20 7520 9266 |
Mark Antelme Joanna Boon Jimmy Lea |
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Notes to Editors
About redT energy
redT energy develops and supplies durable and robust energy storage machines based on proprietary vanadium redox flow technology for on and off-grid applications. The liquid storage medium affords an exceptionally long system life of up to 25 years and a 100 per cent usable depth of discharge. Combined with low maintenance requirements, this delivers industry leading lowest levelised cost of storage (LCOS) and total cost of ownership (TCO) results. The modular approach allows the power and energy components of systems to be independently sized to meet customer requirements.
Until now it has not been possible to directly compare variable renewable energy generation sources with diesel or fossil fuel generation. PV + Storage is now reaching 'grid parity' in many countries, a paradigm shift in energy production, which will ultimately enable a distributed energy network optimising conventional and renewable generation. The redT energy storage machine has applications in remote power, smart grids, power quality, and all aspects of renewable energy management.
To find out more about redT products or to register your interest in purchasing an energy storage machine please go to the below web address:
http://www.redtenergy.com/
For sales enquiries, please email enquiries@redtenergy.com or call +44 (0) 207 061 6233