AFC Energy to raise up to £25 million via share placing and offer

Published 16/07/2025, 17:40
AFC Energy to raise up to £25 million via share placing and offer

LONDON - AFC Energy plc (AIM:AFC), a hydrogen power generation technologies provider, announced Wednesday plans to raise approximately £20 million through a share placing and subscription, with an additional retail offer to raise up to £5 million.

The fundraising will be conducted at 10 pence per share, representing a 26.3 percent discount to Tuesday’s closing price of 13.6 pence, according to the company’s press release statement.

The capital raise consists of a firm placing of approximately 80.5 million shares raising about £8.1 million, a conditional placing of around 114.5 million shares raising approximately £11.4 million, and a direct subscription with certain directors for 5 million shares raising about £0.5 million.

Additionally, the company is offering up to 50 million shares to retail investors through the RetailBook platform, potentially raising up to £5 million more.

The conditional placing and retail offer require shareholder approval at a general meeting scheduled for August 7.

AFC Energy plans to use the proceeds to advance its Hy-5 containerized portable ammonia crackers toward commercialization, produce and accredit its first five low-cost fuel cell generators, and cover factory and payroll costs.

The company said it has reduced production costs of its 30kW fuel cell generators by approximately 85% following leadership changes earlier this year that shifted its strategy from technology-led to market-led growth.

John Wilson, Chief Executive of AFC Energy, stated the company is "positioned to be among the first to deliver a commercially viable, zero-emission alternative to diesel generators at scale."

Peel Hunt, Zeus, and RBC are acting as joint bookrunners and joint brokers for the fundraising, with Yellowstone also serving as joint bookrunner. Peel Hunt is the company’s nominated adviser.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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