Wave power specialist Atlantis Resources has launched a proposed five-year bond through Abundance Investment which aims to raise between £2-£5 million.
The bond, which will mature in 2023, has a coupon of 8%, payable semi-annually. It is expected to close in Q1 2018.
The proceeds of the issue will be used to progress and accelerate the development of the best opportunities in the Atlantis project pipeline, including the recently announced Uskmouth power station conversion and the Wyre tidal gateway project, to repay some more expensive debt, and to provide general working capital for the Atlantis group.
The issuing entity is a newly-incorporated, wholly owned UK based subsidiary of the Company, and the bonds, which are unsecured, will benefit from a parent company guarantee from Atlantis. The bonds will otherwise have the same terms as the £5 million 8% bonds due 2022 issued via the Abundance platform in July 2017.
Atlantis CEO Tim Cornelius said: “As we embark on our transformational deal with SIMEC and the GFG Alliance to create a global, diversified renewable energy platform, this bond offer represents a chance for ordinary investors to help Atlantis to grow and share in our future financial success.
“The bonds will help us commence work on transformational projects such the Uskmouth power station conversion and the Wyre tidal gateway project.
“These bonds will help us achieve our ambition of becoming one of the largest and most diversified renewable energy companies on the London Stock Exchange”