Nel Raises $172 Mln Through Private Placement to Boost Capacity

By March 24, 2022 2   min read  (201 words)

March 24, 2022 |

Fuel Cells Works, Nel Raises $172 Mln Through Private Placement to Boost Capacity

Norwegian hydrogen company Nel ASA said late Wednesday that it has raised around 1.5 billion Norwegian kroner ($172 million) in gross proceeds through a private placement.

The company said it is experiencing ever-increasing interest and opportunities within the hydrogen industry and has more than doubled the addressable pipeline to $12 billion from the end of the third quarter of 2021 to the end of the fourth quarter of 2021.

“The net proceeds from the private placement will be used for continued investments in production capacity, organizational growth linked to order intake and tender activity, and general corporate purposes,” it said.

The placement saw 98 million new shares offered at a price of NOK15.30 each and the company said it will also consider carrying out a subsequent offering of up to 10 million new shares at the same subscription price as in the private placement.

Nel said separately it is in advanced commercial talks with two independent customers about European sale contracts, each worth around 3 million euros ($3.3 million).

The scope for one of the contracts is an alkaline electrolyzer system and the other is hydrogen fueling modules, it said.

Negotiations are continuing, and there can be no assurance that agreements will be reached, it added.

Source: Dow Jones Newswire

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