Energia
Savosolar plans to arrange a rights issue of approximately EUR 5.4 – 6.4 million with additional warrants
Savosolar Plc
Company Announcement, Insider information 6 September 2021 8.30 a.m. (CEST)
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The Board of Directors of Savosolar Plc ("Savosolar" or the "Company") has decided to arrange a partially underwritten rights issue totaling approximately between EUR 5.4 million and EUR 6.4 million (the "Offering") with three series of additional warrants enabling the Company to raise up to a maximum of approximately EUR 15.2 million (the "Warrants"), under the condition that the Extraordinary General Meeting to be held on 1 October 2021 gives authorisation to the Board of Directors to resolve on the Offering and the issuance of Warrants. The Offering is expected to consist of between 77,440,623 and 91,939,254 new shares (the "Offer Shares"). In addition, maximum of approximately 137,908,881 new shares could be subscribed based on the Warrants.
The Offering is expected to be carried out at EUR 0.07 per share, meaning the same subscription price as the subscription price on the basis of warrants of series TO7, which subscription period begins today and ends on 17 September 2021. Investors who subscribe for new shares on the basis of warrants of series TO7 will receive the same right to subscribe in the Offering as other shareholders.
Summary
Reasons for the Offering and use of proceeds
The market for large solar heating systems for both district heating and industrial processes is growing, especially in Europe. Both companies and public entities are accelerating their investment decisions due to the EU Green Deal programs and the growing demand to fight climate change. The Company estimates that in 2022, the market for large solar thermal systems will double or triple in size compared to 2021. Savosolar estimates that growth will be strongest in France, Austria, Poland and Germany, where measures have already been initiated in accordance with the EU Green Deal program. The Company has achieved a strong market position and brand in these markets. The Company currently has a record high number of projects in the planning and tender phase, including the identified active sales targets for nearest coming years, amounting to EUR 145 million. In France, Savosolar has successfully secured market leadership as a result of efficient and high-quality technology as well as a local and customer-oriented way to operate. Additionally, the Company is currently implementing its first pilot project in China. The delivered projects and satisfied customers are excellent references as we increase the average project size and revenue.
The Company wants and needs to meet the growing market demand and, therefore, the Company plans to arrange the above-mentioned capital raising. Savosolar intends to use the net proceeds from the Offering and the Warrants for the following:
Terms of the Offering
The Board of Directors of the Company is planning to offer between 77,440,623 and 91,939,254 Offer Shares and Warrants amounting to between 38,720,311 and 45,969,627 of three different series (in total maximum between 116,160,933 and 137,908,881 Warrants) for subscription in accordance with the shareholders' preferential subscription rights, under the condition that the Extraordinary General Meeting to be held on 1 October 2021 gives authorization to the Board of Directors to resolve on the Offering and the issuance of Warrants. The main terms for the Offering are presented below.
Underwriting commitments
The Offering has been secured to approximately EUR 5.4 million (100 per cent of the minimum size of the Offering) through underwriting commitments. Underwriters are entitled to receive their underwriting compensation in cash amounting to eight (8) per cent of underwritten amount.
Indicative timetable
Advisers
Augment Partners AB is acting as financial advisor to the Company in the Offering. Smartius Oy is acting as the legal adviser to the Company on aspects of the Offering related to the Finnish law.
SAVOSOLAR PLC
For more information:
Savosolar Plc
Managing Director Jari Varjotie
Phone: +358 400 419 734
E-mail: jari.varjotie@savosolar.com
Savosolar Plc discloses the information provided herein pursuant to the Market Abuse Regulation ((EU) No 596/2014, ”MAR”). The information was submitted for publication by the aforementioned person on 6 September 2021 at 8.30 a.m. (CEST).
About Savosolar
Savosolar with its highly efficient collectors and large-scale solar thermal systems has taken solar thermal technology to the next level. The company's collectors are equipped with the patented nano-coated direct flow absorbers, and with this leading technology, Savosolar helps its customers to produce competitive clean energy. Savosolar's vision is to be the first-choice supplier to high performance solar installations on a global scale. Focus is on large-scale applications like district heating, industrial process heating and real estate systems – market segments with a big potential for rapid growth. The company primarily delivers complete systems from design to installation, using the best local partners. Savosolar is known as the most innovative company in the business and aims to stay as such. The company has sold and delivered its products to almost 20 countries on four continents. Savosolar's shares are listed on Nasdaq First North Growth Market Sweden with the ticker SAVOS and on Nasdaq First North Growth Market Finland with the ticker SAVOH. www.savosolar.com .
The company's Certified Adviser is Augment Partners AB , info@augment.se , phone: +46 8-604 22 55.
IMPORTANT NOTICE
This release or the information contained therein shall not be distributed, directly or indirectly, in Australia, Canada, Hong Kong, Japan, New Zealand, Singapore, South Africa or the United States. The information contained in this release do not constitute an offer of, or invitation to purchase any securities in any area, where offering, procurement of or selling such securities would be unlawful prior to registration or exemption from registration or any other approval required by the securities regulation in such area. This release is not an offer for sale of securities in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended, and the rules and regulations issued by virtue of it. Savosolar has not registered, and does not intend to register, any offering of securities in the United States. No actions have been taken to register the shares or the offering anywhere else than in Finland and Sweden.
The information contained herein shall not constitute an offer of, or invitation to purchase any securities in any jurisdiction. This release is not a prospectus and does not constitute any offer, invitation or investment advice to subscribe for or purchase securities. Investors should not subscribe for or purchase any securities or make any investment decisions referred to herein except on the basis of information contained in a prospectus issued by Savosolar.
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