GreenHy2 Secures $941K to Accelerate Sodium-Ion Battery Rollout
GreenHy2 Limited has raised nearly $1 million through a strategic share placement aimed at expanding its PowerSafe Sodium-Ion and Lithium-Ion battery offerings. Part of the placement awaits shareholder approval at the upcoming AGM.
- Placement to raise approximately $941,000 via 104.6 million new shares
- Shares issued to institutional investors, strategic shareholders, and partners
- $250,000 worth of shares subject to shareholder approval at AGM
- Funds earmarked for accelerating Sodium-Ion and Lithium-Ion battery market launch
- Director Michael Seder and associated fund involved in placement
Strategic Capital Raise
GreenHy2 Limited (ASX, H2G), an Australian innovator in renewable energy storage solutions, has announced a share placement to raise approximately $941,000. The company will issue over 104 million new shares at a price of $0.009 each to institutional and sophisticated investors, including existing major shareholders and long-term distribution partners. This capital injection is designed to support the accelerated market introduction of GreenHy2’s PowerSafe Sodium-Ion and Lithium-Ion battery products.
Placement Details and Shareholder Approval
The placement is structured in three tranches. The first tranche, comprising nearly 70 million shares, is expected to settle immediately under the company’s existing ASX Listing Rule 7.1 capacity. However, $250,000 worth of shares linked to director Michael Seder and his associated fund require shareholder approval at the upcoming Annual General Meeting (AGM). Additionally, a further tranche of approximately 7 million shares will be issued only after this approval, reflecting the company’s commitment to governance and transparency.
Backing from Key Stakeholders
Michael Seder, representing M&A VC, expressed strong confidence in GreenHy2’s positioning as a first mover in the Sodium-Ion battery market with its PowerSafe brand. He highlighted the company’s comprehensive product range, including Lithium-Ion and Supercapacitor batteries, tailored for applications from residential to industrial power storage. Seder also pledged to leverage his networks to help scale GreenHy2’s market presence.
Use of Funds
The proceeds from the placement will be directed towards accelerating the commercial rollout of GreenHy2’s energy storage products. This includes purchasing stock of PowerSafe Sodium-Ion batteries and hybrid inverters specifically approved for Sodium-Ion technology, as well as expanding inventory of PowerSafe Lithium-Ion batteries aimed at commercial and industrial sectors. The company’s focus on these advanced battery technologies aligns with growing demand for efficient, scalable renewable energy storage solutions.
Market Implications
GreenHy2’s capital raise signals a strategic push to consolidate its foothold in the evolving energy storage market. Sodium-Ion batteries, touted for their safety and cost advantages over traditional Lithium-Ion cells, represent a promising growth area. The company’s ability to secure support from institutional investors and key insiders underscores confidence in its technology and market strategy. However, the finalisation of part of the placement remains contingent on shareholder approval, which will be closely watched by investors.
Bottom Line?
GreenHy2’s successful capital raise sets the stage for a pivotal year in scaling Sodium-Ion battery adoption, with the AGM outcome poised to influence momentum.
Questions in the middle?
- Will shareholder approval at the AGM be secured without issue?
- How quickly can GreenHy2 scale production and distribution of PowerSafe Sodium-Ion batteries?
- What competitive advantages will GreenHy2 leverage to lead in the Sodium-Ion battery market?
