8 April 2024
European Green Transition
plc
("European Green Transition",
"EGT" or "the Company")
Admission
to Trading on AIM, First Day of Dealings and Notice of Investor
Presentation
European Green Transition, a company
developing green economy assets in Europe which aims to capitalise
on the opportunity created by the green energy transition, is
pleased to announce the admission of its entire issued ordinary
share capital to trading on AIM ("AIM"), a market of the London
Stock Exchange plc ("Admission").
The commencement of trading of the
Company's ordinary shares of £0.0025 each in the capital of the
Company (the "Ordinary Shares") will become effective at 8:00a.m.
under the ticker "EGT". On Admission, the Company will have a
market capitalisation (at the Placing Price) of approximately £14.5
million and have 144,620,892 Ordinary Shares in issue.
Admission follows a Placing,
Subscription and Retail Offer for a total of 64,620,890 new
Ordinary Shares at a price of 10 pence per Ordinary Share (the
"Placing Price"), raising gross proceeds of £6.46
million.
Defined terms in this announcement
have the same meaning as those in the Admission Document published
by the Company on 28 March 2024.
Aiden Lavelle, Chief Executive Officer of European Green
Transition, said:
"Today's listing and fundraise is a crucial milestone for EGT.
The funds raised will contribute to our existing green economy
projects which are intended to support the energy transition across
Europe, notably the Olserum Rare Earth project in Sweden.
Additionally, the fundraise will strengthen the Company's position
to acquire what we believe are distressed and undervalued green
economy assets in Europe.
"I
would like to thank our new and existing shareholders for their
support and commitment to investing in the future of EGT. We are
confident the Company can capitalise on the significant
opportunities created by the green energy transition in Europe to
develop a profitable and sustainable business and I look forward to
updating the market on future progress."
Cathal Friel, Co-Founder & Non-Executive Director of
European Green Transition, said:
"The listing of European Green Transition on the London Stock
Exchange is an excellent milestone and following strong support
from both institutional and family office investors we successfully
raised a total of £6.46 million.
"The EGT team and Board have a strong track record of scaling
M&A focused companies on AIM, notably Cove Energy plc, Amryt
Pharma plc and hVIVO plc, and we are confident we can replicate
this tried and tested approach. I am particularly excited by the
significant opportunity that EGT aims to capitalise on in Europe as
we move from the dependence on fossil fuels towards a green,
renewables-focused economy, and I have personally invested a
further £300,000 in the IPO alongside the incoming investors on top
of my significant investment in EGT to date."
Notice of Investor Presentation
The Company Directors will be
holding a remote presentation for investors, followed by an
opportunity to ask questions. The presentation will take place at
6:00pm BST on 8th April
2024.
Please register for the webinar via
the following link:
https://stream.brrmedia.co.uk/broadcast/660d17367b6f45767a005050
EGT
Company Overview
Developing Green Economy Assets through a Disciplined M&A
Focused Model
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·
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EGT's business model is to develop
green economy assets in Europe, capitalising on Europe's green
energy transition. The Company intends to implement a disciplined
M&A focused model and has already acquired a portfolio of
assets, notably their principal Olserum Rare Earth Element (REE)
project.
|
|
·
|
The Company intends to utilise its
experienced team and Board to acquire further green economy assets
in Europe, with a particular focus on what the Directors believe
are distressed and/or undervalued assets, which includes
critical materials projects, solar projects, wind projects,
rehabilitation projects and processing projects.
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|
·
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EGT has already identified a
pipeline of additional green economy assets, some of which the
Directors believe could be acquired for a fraction of the capital
that has previously been invested in them.
|
|
·
|
Through capital-efficient investment
and operational expertise, EGT intends to advance its projects to
build a sustainable, profitable business with the optionality to
sell or partner certain assets with large financial investors or
industry players.
|
Experienced Leadership Team with Strong Track
Record
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·
|
EGT is managed by a highly
qualified, experienced team with extensive small cap public company
experience including Cathal Friel (co-founder, largest shareholder
and Non-Executive Director), Aiden Lavelle (CEO and Chartered
Geologist with 16 years' industry experience) and Jack Kelly (CFO
and Chartered Accountant with extensive experience in
M&A).
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|
·
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The EGT team and Board have a strong
track record of establishing and scaling M&A focused companies
in the public market, including:
|
|
·
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Cove Energy plc: IPO completed in
2009, acquired distressed asset from the Artumas Group, completed a
trade sale in 2012 for US$1.9 billion.
|
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·
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Amryt Pharma plc: IPO completed in
2016, acquired distressed and/or undervalued assets (Birken AG,
Aegerion Pharmaceuticals Inc and Chiasma Inc), completed a trade
sale in 2023 for US$1.48 billion.
|
|
·
|
hVIVO plc (formerly named Open
Orphan plc): IPO completed in 2019, acquired distressed assets Venn
Life Sciences plc (c. £4 million) and hVIVO plc (c. £13 million),
current market cap c. £202 million*.
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Existing Assets in Europe
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·
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The Company's principal asset is the
Olserum REE project in Sweden, which EGT aims to progress towards
obtaining a 25-year exploitation permit.
|
|
·
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REEs are a set of 17 metallic
elements which are crucial components to the green transition used
in a range of high-tech devices including electric vehicles and
wind turbines.
|
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·
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The Olserum project is one of
Sweden's projects of "National Interest" as designated by the
Swedish Geological Survey and the directors believe it has the
potential to become Europe's first operating rare earths
mine.
|
|
·
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EGT will look to capitalise upon the
significant forecast shortage of REEs by monetising the asset
through sale or partnership with financial institutions and/or
industry players. Therefore, crucially, EGT does not intend to
develop a mine but is confident in its ability to find third
parties to acquire or partner on the project.
|
|
·
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In addition, the Company owns copper
and graphite assets in northern Sweden and critical mineral
projects in Saxony, Germany, all of which have defined potential
and tangible upside.
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Strong Market Tailwinds and Focus on Environmental, Social
& Governance Considerations
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·
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EGT expects to benefit from the
European Critical Raw Materials Act (CRMA), which has been
established to address critical supply shortages in Europe. The
CRMA sets clear objectives around extraction, refining and
processing, recycling and external sourcing of critical minerals
for the EU.
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·
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The global market for REEs is
forecast to more than double to $21 billion in the next 10
years. REEs are crucial components in the production of
permanent magnets found in wind turbines, with each standard 3 MW
direct drive wind turbine containing 2 tonnes of REEs.
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·
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Maintaining high ESG standards is at
the forefront of all of EGT's activities and the Company intends to
maintain its environmental and social practices across all
projects, engaging with local communities and stakeholders
throughout.
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*Market capitalisation as at 05/04/2024
Enquiries
European Green Transition
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Aiden Lavelle, CEO
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+44 (0) 208 058 6129
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Jack Kelly, CFO
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|
|
|
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Panmure Gordon - Nominated Adviser, Sole Bookrunner and
Broker
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James Sinclair-Ford / Dougie McLeod
/ Ivo Macdonald
Mark Murphy / Hugh Rich / Rauf
Munir
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+ 44 (0) 20 7886 2500
|
Camarco - Financial PR
|
Billy Clegg, Elfie Kent, Lily
Pettifar
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Europeangreentransition@camarco.co.uk + 44 (0) 20 3757
4980
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The Company notes the following
updates to tables published in its Admission Document dated 28
March 2024.
INTERESTS OF DIRECTORS AND
SIGNIFICANT SHAREHOLDERS
|
|
As at the Date of this
Announcement
|
On Admission
|
|
Existing Director
|
Ordinary
Shares
|
Percentage
of Existing Share Capital
|
Ordinary
Shares
|
Percentage
of Enlarged Share Capital
|
|
Cathal Friel1
|
24,658,318
|
43.8%
|
27,658,318
|
19.1%
|
|
Aiden Lavelle2
|
3,903,697
|
6.9%
|
3,903,697
|
2.7%
|
|
Jack Kelly
|
1,784,547
|
3.2%
|
1,784,547
|
1.2%
|
|
Sven Anders Daniel
Akselson3
|
0
|
0.0%
|
450,000
|
0.3%
|
|
James Leahy
|
0
|
0.0%
|
0
|
0.0%
|
|
Total
|
30,346,562
|
53.9%
|
33,796,562
|
23.4%
|
1. Including 16,953,200 Ordinary
Shares held by Raglan Road Capital Limited, a company owned by Mr
Friel and his spouse.
2. Including 425,858 Ordinary Shares
held by his spouse.
3. Including, from Admission,
450,000 Ordinary Shares held by Mitaks Investment & Management
AB, a company owned by Mr Akselson and his spouse.
|
|
As at the Date of this
Announcement
|
On Admission
|
|
Shareholder
|
Ordinary
Shares
|
Percentage
of Existing Share Capital
|
Ordinary
Shares
|
Percentage
of Enlarged Share Capital
|
|
Raglan Road Capital Limited4
|
16,953,200
|
30.1%
|
19,953,200
|
13.8%
|
|
Cathal Friel
|
7,705,118
|
13.7%
|
7,705,118
|
5.3%
|
|
McNolan Venture Limited5
|
6,526,704
|
11.6%
|
7,426,704
|
5.1%
|
|
Jacqueline Hall
|
4,684,437
|
8.3%
|
4,684,437
|
3.2%
|
|
Jeremy Martin
|
4,684,437
|
8.3%
|
4,684,437
|
3.2%
|
|
Explora Minerals AB
|
0
|
0.0%
|
4,500,000
|
3.1%
|
|
Ian O'Connell
|
3,968,499
|
7.0%
|
3,968,499
|
2.7%
|
|
Aiden Lavelle6
|
3,903,697
|
6.9%
|
3,903,697
|
2.7%
|
|
Jack Kelly
|
1,784,547
|
3.2%
|
1,784,547
|
1.2%
|
|
Paul Foord
|
1,784,547
|
3.2%
|
1,784,547
|
1.2%
|
4. Raglan Road Capital Limited is a
company controlled by Cathal Friel and his spouse.
5. A company wholly-owned by Mr
Michael Nolan and his spouse.
6. Including 425,858 Ordinary Shares
held by his spouse.
THE
TAKEOVER CODE & CONCERT PARTY
Upon Admission, the Concert Party
will be interested in 48,389,339 Ordinary Shares,
representing
33.5 per cent. of the voting rights
of the Company. Assuming exercise in full by the members of
the
concert party of the Options (and
assuming that no other person converts any convertible
securities
or exercises any options or any
other right to subscribe for shares in the Company), the members
of
the Concert Party would be
interested in 50,689,339 Ordinary Shares, representing
approximately
34.5 per cent. of the enlarged
voting rights of the Company. A table showing the
respective
individual interests in shares of
the members of the Concert Party upon Admission and following
the
exercise of the Options is set out
below.
|
|
As at the date of this
Announcement
|
Immediately following
Admission
|
Maximum holding following
exercise of Options granted to
members of the Concert
Party2
|
|
Name
|
Number of Existing
Shares
|
Percentage
of Existing
Shares
|
Number of
Shares
|
Percentage
of issued
Shares
|
Maximum
number of
Shares3
|
Percentage
of issued
Shares3
|
|
Raglan Road Capital Limited1
|
16,953,200
|
30.1%
|
19,953,200
|
13.8%
|
19,953,200
|
13.6%
|
|
Cathal Friel
|
7,705,118
|
13.7%
|
7,705,118
|
5.3%
|
7,705,118
|
5.2%
|
|
McNolan Venture Ltd4
|
6,526,704
|
11.6%
|
7,426,704
|
5.1%
|
7,426,704
|
5.1%
|
|
Ian O'Connell
|
3,968,499
|
7.0%
|
3,968,499
|
2.7%
|
3,968,499
|
2.7%
|
|
Aiden Lavelle
|
3,477,839
|
6.2%
|
3,477,839
|
2.4%
|
4,477,839
|
3.0%
|
|
Jack Kelly
|
1,784,547
|
3.2%
|
1,784,547
|
1.2%
|
2,784,547
|
1.9%
|
|
Liam Tremble
|
1,171,109
|
2.1%
|
1,171,109
|
0.8%
|
1,171,109
|
0.8%
|
|
Robert Whelan
|
966,890
|
1.7%
|
966,890
|
0.7%
|
966,890
|
0.7%
|
|
Frances Lavelle
|
425,858
|
0.8%
|
425,858
|
0.3%
|
425,858
|
0.3%
|
|
Carol Dalton
|
390,370
|
0.7%
|
390,370
|
0.3%
|
390,370
|
0.3%
|
|
Caroline McNicholas
|
334,603
|
0.6%
|
334,603
|
0.2%
|
634,603
|
0.4%
|
|
Mitaks
Investment &
Management
AB5
|
0
|
0.0%
|
450,000
|
0.3%
|
450,000
|
0.3%
|
|
Ross Crockett
|
111,534
|
0.2%
|
111,534
|
0.1%
|
111,534
|
0.1%
|
|
David Kennedy
|
223,068
|
0.4%
|
223,068
|
0.2%
|
223,068
|
0.2%
|
|
Total
|
44,039,339
|
78.2%
|
48,389,339
|
33.5%
|
50,689,339
|
34.5%
|
1.
Raglan Road Capital Limited is a company owned by
Cathal Friel and his spouse
2.
See paragraph 4 of Part 7 of the
Company's Admission document published on 28 March 2024 for
details of the options over Shares to be granted conditional upon
Admission
3.
Assumes exercise of the options over 2,300,000
shares granted to members of the Concert Party and assumes no other
issue of Shares
4.
All of the Shares beneficially owned by Michael
Nolan are held by McNolan Venture Ltd which is presumed to be part
of the Concert Party
5. All of the Shares beneficially
owned by Sven Anders Daniel Akselson are held by Mitaks Investment
& Management AB which is presumed to be part of the Concert
Party
ENDS
For more information visit www.europeangreentransition.com