Thurso firm IPO
Battery firm AMTE surges to £81m valuation
AMTE is hoping to serve the electric vehicle sector
Battery manufacturer AMTE Power saw its value soar to £81 million after the first day of trading in its shares on the Alternative Investment Market today.
Shares in the Thurso-based company opened at 240p against an oversubscribed placing price of 175p which valued the company at £61m.
Within the first half hour of trade shares were changing hands at 255p. They closed at 233p valuing the company at £80.8m.
The company raised £12.9m in the placing while existing investors raised £740,000 from the sale of shares.
Senior management will own approximately 17% of the company. WH Ireland is acting as nominated adviser.
The company said it intends to use the proceeds to finance working capital requirements prior to income generation from the commercialisation of its battery cell portfolio.
Its batteries will be aimed at the electric car market and it has a long-term aim to build a giga-plant in the UK. It has worked with automotive giants Jaguar Land Rover and Cosworth.
Chief executive Kevin Brundish, who co-founded the company in 2013, said AMTE was delighted by the investor response from both new and existing shareholders.
“The high demand has enabled us to raise additional funds which will further enhance the commercial prospects of our portfolio of battery cells,” he said.
“The switch to electrification is clearly happening and not just in the automotive sector but across multiple markets.”
Battery technology is backed by the UK government as part of its push on new energy sources.
AMTE Power has entered into a framework agreement governing access to the UK Battery Industrialisation Centre cell manufacturing facility and, in 2022, intends to commit to building a UK manufacturing facility with a capacity of approximately 2GWh per annum.
Britishvolt is hoping to build a £2.6billion ‘gigafactory’ on the old Blyth power station site that will create about 3,000 jobs and be the biggest industrial investment in the North East of England since Nissan opened its Sunderland plant in 1984.