Business
Placing to raise £1,000,000 and issue of equity
Placing to raise £1,000,000 and issue of equity.
About this update from Powerhouse Energy Group Plc
[{"type":"text","content":"\n\nNOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, OR SOUTH AFRICA OR ANY OTHER JURISDICTION WHERE IT IS UNLAWFUL TO DISTRIBUTE THIS ANNOUNCEMENT.\n \n22 August 2023\nPowerhouse Energy Group Plc\n(the \"Company\" or \"PHE\")\n\nPlacing to raise £1,000,000 and issue of equity\n \nPowerhouse Energy Group Plc (AIM: PHE), a company pioneering integrated technology that converts non-recyclable waste into low carbon energy, is pleased to announce that it has raised £1 million, before expenses, through a placing at a price of 0.5p per share (\"Issue Price\") (the \"Placing\" or \"Fundraising\"). The Placing was arranged by the Company's broker, Turner Pope Investments (TPI) Ltd (\"TPI\").\nA total of 200,000,000 new Ordinary Shares of 0.5p each in the capital of the Company (\"Ordinary Shares\") has been placed by TPI at the Issue Price (\"Placing Shares\") with clients of TPI.\n \nUse of Funds\n \nThe Directors have undertaken the Fundraising to increase the Company's cash reserves following a revision of the business model and to cover a significant proportion of the build and fit-out costs for the Company's new Technology Centre in Bridgend. The Technology Centre will become the Company's new head office as well as housing a scale version of the Company's new feedstock testing unit utilising the Company's proprietary DMG® technology, which will serve as a reference site for potential customers, and for development and project funding partners.\n \nBroker Fee Shares\n \nTPI will receive 8,000,000 new Ordinary Shares (\"Broker Fee Shares\"), having elected to receive Ordinary Shares at the Issue Price instead of cash in respect of certain professional fees.\n \nPlacing Agreement and issue of warrants\n \nThe Company and TPI have entered into a Placing Agreement pursuant to which TPI has agreed, subject to certain conditions, to use its reasonable endeavours to procure subscribers for the Placing Shares at the Issue Price. The Company has given customary warranties and undertakings to TPI in relation to, inter alia, its business and the performance of its obligations. In addition, the Company has agreed to indemnify TPI in relation to certain liabilities that TPI may incur in undertak...