NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART DIRECTLY OR INDIRECTLY, IN
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Nel is one of the leading players within green hydrogen as a technologies manufacturer of electrolysers and hydrogen fueling stations. The Company experiences continued strong trends in the hydrogen market, with fast-growing interest in green hydrogen as the rapid fall in the cost of renewable energy (e.g. solar and wind power) eventually drives down the cost of renewable hydrogen to levels that can outcompete natural-gas based fossil hydrogen. The high activity and interest is i.a. evidenced by large industry- and energy companies increasingly engaging in green hydrogen projects. The activity of Nel's competitors is also growing, with selected competitors receiving capital injections from large industrial companies during 2019. In order to maintain and improve its position, the Company believes it needs to step up the activity level even faster than it previously envisioned. In addition, projects grow in order of magnitude and Nel sees the need to have a strong balance sheet and financial position in order to take on and successfully deliver on future projects.
In the Private Placement, the Company is offering up to 89 million new shares, representing up to approximately 7.3% of the outstanding capital of the Company. The price in the Private Placement will be determined through an accelerated bookbuilding process. The minimum application and allocation amount has been set to the NOK equivalent of
The net proceeds from the Private Placement will be used for:
· Maintain and strengthen market position through accelerated investments in technology and organization to take advantage of the attractive market opportunities
· Strengthening investment in development and innovation across segments and technologies to stay on the technological forefront
· Continue to develop the organization, both within management systems, engineering, project execution, production and process improvement
· Additional focus on people and safety
· Strengthening the balance sheet and financial position to satisfy counterparty requirements on large scale projects
· Ability to satisfy contractual obligations
· Ability to provide required bonds/guarantees
· The proceeds will also fund additional working capital in response to increased order volumes and contract sizes, as well as general corporate purposes
The bookbuilding period for the Transaction opens today at
The new shares to be issued in connection with the Private Placement will be issued based on a Board authorisation granted by the Company's general meeting held
The Company has considered the Private Placement in light of the equal treatment obligations under the Norwegian Securities Trading Act and Oslo Børs' Circular no. 2/2014 and is of the opinion that the waiver of the preferential rights inherent in a private placement is considered necessary in the interest of time and successful completion. However, subject to completion of the Private Placement, the Board of Directors of the Company will consider to carry out a subsequent offering directed towards existing shareholders in the Company as of the end of trading today,
More information, included risks associated with the investment, see attached company presentation.
ENDS
For additional information, please contact:
Bent Skisaker, CFO, +47 468 21 693
About
Nel is a global, dedicated hydrogen company, delivering optimal solutions to produce, store, and distribute hydrogen from renewable energy. We serve industries, energy, and gas companies with leading hydrogen technology. Our roots date back to 1927, and since then, we have had a proud history of development and continual improvement of our hydrogen plants. Today, our hydrogen solutions cover the entire value chain: from hydrogen production technologies to hydrogen fueling stations, enabling industries to transition to green hydrogen, and fuel cell electric vehicles with the same fast fueling and long range as fossil-fueled vehicles today.
Important Notices
This document is not an offer to sell or a solicitation of offers to purchase or subscribe for shares. Copies of this document may not be sent to jurisdictions, or distributed in or sent from jurisdictions, in which this is barred or prohibited by law. The information contained herein shall not constitute an offer to sell or the solicitation of an offer to buy, in any jurisdiction in which such offer or solicitation would be unlawful absent registration, or an exemption from registration or qualification under the securities laws of any jurisdiction.
This document is not for publication or distribution in, directly or indirectly,
This document is not an offer for sale of securities in
The Managers are acting for the Company in connection with the Private Placement and no one else and will not be responsible to anyone other than the Company for providing the protections afforded to their respective clients or for providing advice in relation to the Private Placement or any transaction or arrangement referred to in this press release.
This announcement and any materials distributed in connection with this announcement may contain certain forward-looking statements. By their nature, forward-looking statements involve risk and uncertainty because they reflect Nel's current expectations and assumptions as to future events and circumstances that may not prove accurate. A number of material factors could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements.
This information is subject to a duty of disclosure pursuant to Section 5-12 of the Norwegian Securities Trading Act.
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