29th Apr 2010 10:18
Press Release
29 April 2010
Ludgate Environmental Fund purchases 5.3% of issued share capital of green building company Hightex Group
·; Ludgate Environmental Fund has invested £730,000 into Hightex Group
·; Leading designer, fabricator and installer of energy efficient membranes
·; Co-operation planned to unlock value within SolarNext, its solar cooling subsidiary
On 27 April 2010 Ludgate Environmental Fund Limited ("LEF") invested £730,000 into 10,000,000 ordinary shares of Hightex Group plc ("Hightex"), equivalent to 5.3% of its issued share capital. Hightex (AIM:HTIG) is one of only two companies operating internationally to design and install large area membrane roofs and façades. Hightex uses environmentally friendly materials and innovative coatings, which help reduce energy costs.
The key rationale behind LEF's investment is to allow LEF to work with Hightex to help realize the potential of SolarNext, a wholly owned subsidiary of Hightex. SolarNext has developed a solar cooling system in kit form, able to be retro-fitted to many kinds of structures, managed by an innovative controller, which can manage multiple input sources (solar, district heating, biomass, CHP) to deliver optimum efficiency. Over 30 solar cooling systems have been sold, ranging from residential to medium-sized commercial applications. The Hightex board has a stated priority to unlock the value within SolarNext.
Other examples of Hightex's energy efficient projects include the passenger concourse of the Bangkok International Airport in Thailand and the Dolce Vita Shopping Mall in Lisbon, Portugal. For Bangkok airport, Hightex developed a triple-layer, membrane tensile roof system, including a low emissivity internal liner that significantly reduces heat inflow into the structure, thereby significantly reducing the air conditioning requirements. For Dolce Vita, Hightex pioneered the first ever use of a Selective Filter and Low-Emissivity coating on the ETFE membrane material, to control and reduce solar gain into the building. Hightex plans to extend these concepts of energy control and conservation through innovative coatings to other membrane structures and also develop energy-generating, composite membrane materials for use in large area roof structures.
Nick Pople, Director of Ludgate Investments Limited, Investment Adviser to the LEF, commented: "We are pleased to be investing in a leading green building company. Buildings represent more than 20% of global energy use and Hightex membranes can reduce that burden significantly. Furthermore, we look forward to working with Hightex to expand the activities of SolarNext."
Charles DesForges, Executive Chairman of Hightex, said: "I am delighted to announce the investment by Ludgate Environmental Fund. Over the past year, Hightex has completed world class projects, returned to profitability and won significant contracts that give the Company a record order book and already secure the market forecasts for revenues in 2010. Gaining the participation of LEF, as a leading cleantech investor, is a recognition of the long term growth potential of our energy efficient offering. We look forward to continuing that success by working with the Ludgate team and benefitting from the additional resources they bring to exploit our investment in the expanding solar sector."
Dr Charles DesForges, Executive Chairman of Hightex, is on the Advisory Panel of the LEF and Chairman of Terra Nova S.A. Charles Sebag-Montefiore, a non-executive director Hightex, is also an executive director of Ludgate Investments Limited, Investment Adviser to the LEF.
Hightex recently announced preliminary results for its year ended 31 December 2009, including an increase of 23.5% in turnover to €20.0 million, gross profit up by 100% to €4.2 million (both versus 2008) and a profit before exceptional items of €1.1 million. Recent operational results include completing the retractable roof at Wimbledon Centre Court, the 2010 FIFA World Cup stadiums in Johannesburg and Cape Town and the Munich Olympic Hall.
In the second half of 2009, Hightex announced contract wins amounting to €45.3 million relating to the roofs over the Warsaw National Stadium and Kiev Olympic Stadium (both for the UEFA 2012 European Football Championship) and the retractable roof and fixed façade for the new BC Place Stadium in Vancouver, Canada.
Notes to Editors
About Ludgate Environmental Fund:
Ludgate Environmental Fund Limited is a Jersey domiciled closed-ended investment company listed on AIM in August 2007 with approximately £48 million of assets under management (as at 31 March 2010).
Applying an active corporate management approach, Ludgate Environmental Fund invests growth capital into environmental/cleantech companies. The underlying drivers in this sector are strong: increasing strains on natural resources; rising concerns over waste and pollution; increasing public support; and maturing environmental technologies. Focus areas of the Fund include alternative energy; waste management and resource recovery; energy efficiency; water management; industrial process advances and emission reduction technologies.
About Hightex Group:
Hightex Group is a specialist engineering company, which designs, fabricates and installs large area, architectural polymer membranes for roofing and façade structures. The membranes are typically used for sporting stadiums and arenas; airport terminals; train stations; shopping malls and other buildings. This type of structure is a competitive alternative to glass: its flexibility enables complex shapes to be created and its lightness enables larger areas to be covered in a single span. It is also safer than glass in the event of an explosion. Hightex uses environmentally friendly materials and is focussed on innovative technology and coatings, which help to reduce a building's energy costs. Its SolarNext subsidiary has developed air-conditioning/cooling systems whereby solar energy replaces electric power.
Hightex has been involved in the construction of a number of very high profile buildings including, among others, the AELTC Wimbledon Centre Court retractable roof, the Burj al Arab Hotel in Dubai, the roof of the Suvarnabhumi International Airport in Bangkok and the grandstand roof at Ascot Race Course.
The global market for membrane structures is growing as a result of the increasing demand for energy efficient buildings and the popularity and cyclical nature of sporting events, which give rise to a continuing need for upgraded and new buildings and stadiums.
Hightex is listed on the AIM market of the London Stock Exchange (AIM:HTIG). Further information on Hightex Group plc can be found at www.hightexworld.com.
Ludgate Investments Limited
Nigel Meir
+44 20 7621 5770
Ludgate Environmental Fund
John Shakeshaft, Chairman
+44 777 197 6278
www.ludgateenvironmental.com
Hightex Group plc
Charles DesForges, Chairman
+44 20 7603 1515
www.hightexworld.com
LEF media enquiries - Shared Value
Andrew Best
+44 20 7321 5022
LEF NOMAD - PricewaterhouseCoopers LLP
Melville Trimble
+44 20 7213 8898
LEF Broker - Matrix Corporate Capital LLP
Paul Fincham
+44 20 3206 7175
Hightex media enquiries - Hudson Sandler
Nathan Field
+44 20 7796 4133
Hightex Broker - FinnCap
Geoff Nash, Rhydian Bankes
+44 20 7600 1658
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