Ceramic Fuel Cells seeking £37 million listing on AIM

Ceramic Fuel Cells seeking £37 million listing on AIM

	Published : Thu, 23 Feb 2006 20:05 By : Paula Demarzio Print this Story

LONDON: Australia-based fuel cell technology company Ceramic Fuel Cells is raising 37 million pounds on the London Stock Exchange's AIM, placing 175 million new shares at 21.25 pence a share. The proceeds are to be used to set up a new factory, probably in Britain.

The company, which is already listed on the Australian stock exchange, will have a market capitalisation, at the placing price, of around 61.2 million.

The listing has been done through a share-placing with institutional investors. The oversubscribed placement saw nearly 90 institutional investors in Britain and Europe and several socially responsible funds participating, the company said in a statement.

Ceramic Fuel Cells has developed a technology -- solid oxide fuel cell technology -- that has wide uses in home heating and power systems. The company now wants to market this technology in a big way.

Chairman Julian Dinsdale said the funds raised will advance the company's commercialisation and technology development. The company will make investments in new manufacturing facilities in Europe, including a specialist ceramic powder manufacturing plant and a volume fuel cell stack manufacturing plant.

Chief executive Brendan Dow said the company is now equipped to provide greener and more efficient boilers using integrated fuel cells and run on natural gas at 3,000 pounds.

He said the company has not decided where to locate its proposed plant but there is a good chance that it could in the north of England or north Wales. It can absorb around 200 people.

The trading on AIM will begin on 2 March.

Several smaller companies engaged in producing fuel cells have sought listing on the London bourse in view of the mounting interest in low-carbon technology. Among them are Johnson Matthey, Voller Energy and Ceres Power. Large firms like GE of the United States and Germany's Siemens are also entering this sector, mostly by taking over smaller firms.

One of the large investors in alternative energy firms, Impax Partners, has now trebled its funds under management to 260 million pounds in the last one year.