1 Mar 2005
Energy Developments Limited today announced that it had successfully raised $31.7 million through an institutional placement arranged by UBS of 8,823,530 ordinary shares at an issue price of $3.60.
The placement was conducted after market close on Monday 28 February.
The new shares will rank equally with existing ordinary shares in all respects and are expected to commence trading on Tuesday 8 March 2005.
The placement proceeds will be used to fund ENE's ongoing project development pipeline and related working capital requirements. In early February 2005 ENE announced commitment to 22MW of landfill gas to energy projects in the United States, the United Kingdom and Greece, all of which are expected to be operating by late 2005. In addition ENE announced that it was making good progress towards formal commitment to the 32MW German Creek coal mine methane project and continued to work towards the financial close for the West Kimberley Power Project.
ENE's Managing Director, Mr Chris Laurie said "We are very pleased with the response from institutional investors which we believe underlines the continued progress made by the Company over the past eighteen months. The funds raised from the placement will assist ENE to push forward with its exciting project pipeline now coming to fruition."
Mr Laurie also added that in line with the guidance provided at the November 2004 AGM, the Company will also invite all shareholders to participate in a new issue under ENE's Share Purchase Plan. The terms of the offer will be announced shortly.
On 24 February 2005 ENE announced a record interim net profit after tax for of $12.1 million, 17% higher than the previous corresponding period.
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