Green Hydrogen Systems, the Danish manufacturer of electrolysers for green hydrogen production, is seeking to list on Nasdaq Copenhagen to back the launch of new products and support its growth.
The company on Thursday announced its plan for the contemplated initial public offering (IPO), which is to include placement of newly-issued stock to raise around DKK 1 billion (USD 164.8m/EUR 134.5m), plus a customary greenshoe option to strengthen the balance sheet and finance the execution of Green Hydrogen's strategy. The total size of the offering will be announced in the IPO prospectus.
“Proceeds from the IPO will enable us to continue to scale our production facilities and organisation, and to accelerate R&D efforts in order to further reduce costs of green hydrogen and make it a compelling energy carrier of the future,” said CEO Sebastian Koks Andreassen.
Certain new and current investors, including Nordea Asset Management and ATP, would subscribe for shares in the IPO based on a pre-money equity valuation of roughly DKK 2 billion. Existing shareholders Nordic Alpha Partners and Norlys Holding, and AP Moller Holding will convert an existing loan to the company into shares prior to the IPO.
The total commitment from cornerstone investors, existing shareholders and members of the board reaches DKK 656 million.
Based in Kolding, Green Hydrogen is owned by Nordic Alpha Partners, Norlys Holding, members of the management team and board of directors and other shareholders. It owns a production base undergoing expansion and will have 75 MW of capacity by end-2021, reaching 400 MW in the coming years.
In the past year, Green Hydrogen booked DKK 12.2 million in revenues and negative earnings before interest, tax, depreciation and amortisation (EBITDA) of DKK 69.6 million. Denmark’s Ørsted and Siemens Gamesa are among its clients.
The proceeds from the IPO are seen to be enough to finance the launch of the new X-Series electrolysers and potentially meet capital requirements to expand Green Hydrogen's operations by the end of 2025. By that year, the company aims to reach over DKK 1 billion in revenues from contracts with customers and a positive EBITDA, with a high single-digit EBITDA-margin.
ABG Sundal Collier Denmark, Norge, Carnegie Investment Bank, Sverige and JP Morgan AG will act as joining global coordinators and bookrunners.
(DKK 1.0 = USD 0.165/EUR 0.135)
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