ITM Power raises around £250m through a share placing to help it create jobs

The energy storage and clean fuel business, ITM Power, has raised around £250m through a share placing to help it create jobs and expand its technology capabilities.

Earlier this month, ITM Power announced the launch of a placing by way of an accelerated bookbuild by Investec Bank plc and Merrill Lynch International. The placing has now closed.

Earlier this month, Sheffield-based ITM Power announced the launch of a placing by way of an accelerated bookbuild by Investec Bank plc and Merrill Lynch International. The placing has now closed.

In a statement, ITM Power said: "The company is pleased to announce that the placing was oversubscribed, and that it has conditionally placed 57,495,000 Placing Shares with institutional investors and certain directors at a price of 400 pence per New Share.

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"The total gross proceeds from the capital raise will be, approximately £250 million."

"Application will be made to the London Stock Exchange for the New Shares to be admitted to trading on AIM."

In a statement issued earlier this month, the group said it was seeing a significant acceleration in demand for large scale green hydrogen projects in support of national hydrogen strategies.

The statement said: "In order to capitalise on its market leadership the group intends to use the net proceeds of the capital raise principally to enable an acceleration of the group's technology capabilities and to expand its manufacturing capacity to 5GWs by 2024. The group will also deploy such net proceeds along with its existing cash balance to continue investment in organisational development as it scales towards global manufacturing."

Graham Cooley, Chief Executive Officer of ITM Power plc, said:"ITM Power intends to maintain its market leading position in the global electrolysis equipment market. The money raised will fund a second UK factory with even more automation and our first international manufacturing facility, as well as providing the capital necessary to continue to make our products even better. In the face of the rapidly accelerating worldwide demand for electrolysis, the time to invest is now. Our strategy will create jobs for the UK and a national champion in the vital green hydrogen sector."

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