Energy and clean fuel business raises £250m
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Sheffield-based energy storage and clean fuel business, ITM Power, has raised about £250m through a share placing to ramp up its activities and create more jobs.
The company says the placing was oversubscribed, and that it has conditionally placed 57,495,000 placing shares with institutional investors and certain directors at a price of 400 pence per new share.
In conjunction with the placing, Linde and a member of the senior management have subscribed for 5,005,000 new ordinary shares in the capital of the company. The total gross proceeds of such director and management participation will be approximately £0.5m.
The Group, which already operates the world’s largest electrolyser facility at Bessemer Park, Sheffield, says it intends to use the net proceeds from the Capital Raise and existing cash balances to significantly scale up and expand its operations and open another factory.
The money will also go towards continued technological and corporate development to take advantage of the forecast exponential demand growth in the global green hydrogen electrolyser market.
ITM Power says it is seeing a “significant acceleration” in demand for large scale green hydrogen projects in support of national hydrogen strategies, with the tender opportunity pipeline and contracted backlog reaching 1,011MW and 310MW respectively as of 30 September 2021.
Graham Cooley, chief executive officer, added: “ITM Power intends to maintain its market leading position in the global electrolysis equipment market.
“The money raised will fund a second UK factory with even more automation and our first international manufacturing facility, as well as providing the capital necessary to continue to make our products even better.
“In the face of the rapidly accelerating worldwide demand for electrolysis, the time to invest is now. Our strategy will create jobs for the UK and a national champion in the vital green hydrogen sector.”