Rame launches GBP-2.8m private placement

Chile-focused renewables developer Rame Energy Plc (LON:RAME) today said it is looking to raise up to GBP 2.8 million (USD 4.1m/EUR 3.6m) in a private placement of shares.

The company will use the proceeds to advance its portfolio of wind and solar projects in Chile and for general corporate purposes. In particular, Rame plans to complete the development phase of 210 MW of projects within the next 12 months.

As part of the private placement, it will issue new shares at GBP 0.09 apiece together with a warrant to subscribe for one additional share exercisable at GBP 0.18 for a period of five years.

Rame said it has made arrangements with a US-registered broker dealer to act as its finder for the placement. The fundraising needs to be approved by shareholders. The company intends to allow existing shareholders to participate in an open offer on the same terms, with a separate announcement to be made in due course.

Earlier this week, Rame announced a USD-4-million (EUR 3.6m) development loan from Cayman-based InterEnergy Holdings to accelerate the development of the 210-MW pipeline. In addition to that, the company has cash and cash equivalents of GBP 790,000 as of March 1, 2016.

(GBP 1.0 = USD 1.459/EUR 1.284)

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