Global Bioenergies completes €6.5m private placement to help fund isobutene development
French renewable energy firm Global Bioenergies has completed a €6.5m private placement with French and international investors. The proceeds of the placement will be used to further the development of its isobutene process and to launch commercial roll-out.
The company placed 274,931 new shares at a par value of €0.05 per share, at a unit price of €23.70, including share premium, for a total of approximately €6.5m amounting to 9.6% of the company's share capital.
The stake of a shareholder with 1% of the Company's share capital prior to the issue will be brought to 0.91%.
Speaking about the private placement, Marc Delcourt, CEO at Global Bioenergies, said: "The success of this transaction demonstrates investors' confidence in our corporate strategy. The proceeds of the placement increase the company's unaudited cash to €16.5m. They will enable the company to fully transition into the commercial phase ".
The news comes as the firm recently announced that it was entering a renewed collaboration agreement with car giant Audi to promote the development of biofuels.
Earlier this year, Global Bioenergies delivered its first batch of isobutene-derived isooctane (using biomass products such as wood chips), a premium drop-in fuel for gasoline engines to Audi.
Global Bioenergies produces isobutene via its pilot plant located on the agri-business site of Pomacle, France. The isobutene is then shipped to Germany and converted into isooctane.