HydrogenOne Capital Growth launches but fails to hit £250m target – HydrogenOne Capital Growth (HGEN) has raised gross proceeds of £107.35m through its the placing, offer for subscription and intermediaries offer of ordinary shares as set out in its prospectus published ahead of its IPO. The net proceeds of the issue are expected to be approximately £105.2m.
107,350,000 ordinary shares will be issued pursuant to the issue at a price of 100 pence per share. Applications have been made to the premium segment of the official list of the FCA and to trading on the premium segment of the London Stock Exchange’s main market. Admission is expected to occur at 8am on Friday (30 July 2021).
Simon Hogan, chairman of the company, said: “This IPO marks the start for the first London listed fund dedicated to the clean hydrogen sector. We welcome our new shareholders, and look forward to life as a listed fund. HydrogenOne is for energy investors who want to move beyond net zero now, not later, and deploy substantial growth capital into the solutions underpinning the energy transition.”
[£105m is a disappointing figure considering the company was aiming for a £250m IPO target, especially given INEOS cornerstoned it with 10% of proceeds. That being said, if it can get the money invested quickly and values rise, it has a good change of growing. Hydrogen is likely to play a vital role in both energy storage and fuel for heavy transport and industry and so is becoming increasingly important. However, if there is any initial disappointment within the portfolio and the trust goes to a discount, it could face a real challenge.]
HGEN : HydrogenOne Capital Growth launches but fails to hit £250m target