Sharechat Logo

Windflow to raise an additional $10 mill

Thursday 18th October 2007

Text too small?
Christchurch manufacturer Windflow Technology is seeking to raise another $10 million, through a renounceable rights issue, to capitalise on development opportunities.

"Funds raised from our June 2005 rights issue contributed strongly to the company's progress, enabling us to move the Windflow 500 wind turbine from a prototype to a fully commercial status," chief executive Geoff Henderson says.

The turbines are now at work in the joint venture Te Rere Hau wind farm, owned by NZ Windfarms, Babcock and Brown and NP Power. The joint venture has just agreed to form an alliance with Powerco, one of New Zealand's largest energy distributors, to build infrastructure connecting the wind farm to the national grid."

Henderson says the joint venture has confirmed orders for 44 turbines which will be delivered over the next 18 months.

"We are scaling up our production facilities in Christchurch to enable Windflow to manufacture a greater number of turbines, initially to at least five turbines a month, and to broaden the commercial range of the Windflow 500."

Money raised in the rights issues will be used as additional working capital and to fund the research and development into new variations of the Windflow 500.

The offer will be for a renounceable rights issue at 1-for-4 at $3.00 per 'new share' with each new share issued accompanied by one separately tradable option, to subscribe for an additional share, exercisable on 30 September 2008 at a price of $3.30 per additional share.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

Windflow Technology seeks bridging finance
Windflow misses deadline for FY results, aims for Monday
Windflow prepares for liquidation
Windflow signs first U.K. turbine deal
Windflow warns of more losses to come
Windflow's loss blows out
Windflow Technology's turbine design gains crucial international certification
Windflow targeting $5-6 million loss
NZ Windfarms outlines $34m rescue rights issue
Windflow Technologies facing cash-flow crunch