Wednesday 26th April 2006
Successful £15 Million Fundraising and Admission to Aim
Oxford Catalysts Group PLC ("Oxford Catalysts" or "the Company"), which focuses on developing specialty catalysts with particular application in the generation of clean fuels from fossil fuels and certain renewable sources, has today been admitted to the AIM market of London Stock Exchange plc.
KBC Peel Hunt Ltd is Oxford Catalysts' nominated adviser and broker
£15 million (£14 million net of expenses) was raised for Oxford Catalysts via an over-subscribed placing of 8,620,690 shares at a price of 174 p per ordinary share of 1p each, valuing the Company at £65 million. A further £2 million was raised on behalf of IP2IPO Limited.
The Group's catalysts are based on over 19 years of research at the University of Oxford's world-leading Wolfson Catalysis Centre, headed by Professor Malcolm Green, a highly regarded inorganic chemist and a co-founder of the Company. This research has resulted in a unique platform of licensed intellectual property and proprietary rights.
Oxford Catalysts' carbide-based catalysts can match or exceed the benefits of traditional precious metal catalysts for certain reactions, typically those involving hydrocarbons, at a lower cost.
The Company has developed and licensed its technology with applications in the following markets:
- Removal of sulphur from hydrocarbon fuels – (hydro-desulphurisation, ("HDS")
- Converting natural gas or coal into virtually-sulphur-free liquid fuels (known as GTL and CTL respectively) – (Fischer-Tropsch ("FT")
- Hydrogen-on-demand, producing hydrogen for fuel cells instantaneously from room temperature. This breakthrough technology has the potential to significantly accelerate the commercial adoption of fuel cells in the portable and other mobile applications markets
- Producing high temperature steam from a liquid fuel starting from ambient temperatures for use in portable and motive applications
The Company intends to apply the net proceeds of the Placing to provide working capital to finance the Group's development and commercialisation strategy which currently comprises the refinement of existing catalysts, the recruitment of up to 25 employees over the next 18 months, the re-location to, and fit-out of, new premises and the purchase of necessary laboratory equipment, and the enhancement of its portfolio of intellectual property.
Commenting on the Group's Admission to AIM, Roy Lipski, Chief Executive of Oxford Catalysts Group PLC said:
"We are delighted with the Placing and admission to AIM, following the strong demand for our shares. The money raised will allow us to commercialise, develop and expand on our current portfolio of licensed IP, which we are confident will help to revolutionise the market for 'clean fuels'."
Placing statistics
| Placing price | 174p |
| Number of Placing Shares | 8,620,690 |
| Comprising: | |
|---|---|
| New First Admission Shares | 8,390,805 |
| Second Admission Shares* | 229,885 |
| Number of Existing Ordinary Shares to be placed on behalf of IP2IPO Limited | 1,149,425 |
| Number of Ordinary Shares in issue on Admission | 37,341,183 |
| Market capitalisation of the Company at the Placing Price on Admission | £65 million |
| Placing Shares as a percentage of the Enlarged Issued Share Capital | 23 per cent. |
| Gross proceeds of the Placing receivable by the Company | £15 million |
| Net proceeds of the Placing receivable by the Company | £14 million |
*Application has been made for admission of 229,885 Ordinary Shares in respect of the Second Admission Shares placed with certain VCTs. Dealings are expected to commence in these Ordinary Shares on 27 April 2006.
For further information, call:
Roy Lipski, Oxford Catalysts 07917 826 863
Jonathon Brill/Billy Clegg, Financial Dynamics 020 7831 3113
Megan MacIntyre, KBC Peel Hunt 020 7418 8900
