Share Purchase Plan (SPP) initiated to raise up to $5m for CERENERGY® battery and Silumina Anodes projects
The battery tech uses regular table salt
Funds to be used for commissioning Silumina pilot plant and fabricating CERENERGY® ABS60 battery packs
Special Report: Altech Batteries is looking to raise $5m to progress the development of its game-changing CERENERGY® and Silumina battery projects to feed into the European EV market.
Altech Batteries (ASX:ATC) has launched a share purchase plan to raise up to $5m for its groundbreaking CERENERGY® battery and Silumina Anodes projects, marking a significant milestone in its journey towards revolutionising the battery industry.
As governments and industries worldwide prioritise green initiatives, Altech says it’s poised to play a pivotal role in driving the adoption of sustainable energy solutions – using regular and abundant table salt.
The company’s focus on the grid storage market – which is expected to witness a remarkable 28% CAGR – aligns with global efforts to transition towards renewable energy sources.
It’s now forging ahead with plans to secure financing for the construction of its 120MWh CERENERGY® solid state sodium chloride (salt) battery plant, slated to be built on its landholding in Germany.
In tandem, Altech is also in the process of commercialising a 8000tpa silicon alumina coating plant to supply its Silumina Anodes product to the burgeoning European EV market.
Funding to drive renewable future
In the wake of the recently finalised definitive feasibility study for the CERENERGY® project – which boasts an impressive NPV9 of €169m and free cash flow of €48m a year – ATC is positioning itself for significant growth.
As part of the $5m cap raise, shares will be issued at 6.5c per share and one free attaching option for every two shares acquired, exercisable at 8c per share.
Funds raised will go towards commissioning of the Silumina Anodes pilot plant and fabricating two CERENERGY® ABS60 60KWh battery packs.
Altech CEO Iggy Tan says results of the DFS reinforce the economic soundness and potential of the CERENERGY® project.
“We are excited about the positive trajectory and are fully committed to advancing to the funding phase to realise this innovative venture,” Tan says.
“The project’s economics remain compelling, with an EBITDA margin of around 47%, even at its initial production capacity.
“This aligns with the projected growth of the grid storage market, estimated at 28% CAGR.
“Additionally, the project offers a low lifetime cost of storage at €0.06/kWh, compared to €0.149/kWh for lithium-ion batteries, further enhancing its competitive advantage.”
This article was developed in collaboration with Altech Batteries, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
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