21st Jan 2016 15:51
LONDON (Alliance News) - Intelligent Energy Holdings PLC Thursday said it remains on track to complete its two-tier fundraising by the end of the first quarter of 2016.
At the end of November last year, the company announced plans to raise funds through the proposed issue of a convertible loan note to industrial partners and by realising some of the value that is being created in its DP&G Indian operations.
The power technology company works in the consumer electronics, distributed power and generation and motive markets.
That announcement came as the company reported a GBP54.4 million pretax loss in the year ended September 30, narrowing slightly from the GBP59.6 million loss reported a year earlier after a huge rise in revenue was offset by its gross margin being squeezed.
In November, Intelligent Energy said the convertible loan note would be at a strike price that is at a premium to the share price at that time, and was in talks with "two blue chip industrial parties". Intelligent also said it was looking for potential investors for the Indian business, with discussions starting with some interested parties back in the summer of 2015.
On November 27, the last trading day prior to the announcement concerning the convertible loan note, Intelligent Energy shares were trading at 90.0 pence per share. However, its share price has plummeted by almost 58% since then, as shares were trading down 2.2% on Thursday to 37.89 pence per share.
On Thursday, Intelligent Energy said the process of issuing the convertible loan note was a "time consuming process" due to the nature of its business, but said both transactions have made "good progress" and said it remains on track to close both before the end of the first quarter of 2016.
By Joshua Warner; [email protected]; @JoshAlliance
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