Voltalia arranges equity line to increase the free float and the shares’ liquidity

Voltalia, a renewable energy based electricity producer, has announced the signing of an equity line aiming at increasing the liquidity of its shares through the enlargement of its free float.

Voltalia had already taken a step in this direction in January 2015, when raising new equity capital through a private placement to institutional investors. That operation had brought the share of free float to almost 15% of Voltalia’s total share capital.

Pursuant to the arrangement, the company issued a total of 1,000,000 warrants allowing Kepler Chevreux to subscribe to an equal amount of equity shares; subject to conditions defined by the two parties, Kepler Chevreux has committed to exercise the warrants in the next 36 months (including at least 250,000 warrants within the first 12 months). Among the above mentioned conditions, there is a limit on the total number of shares to be issued upon exercise of the warrants1 .

Should all warrants be exercised, a total of 1,000,000 new shares will be issued, representing a total amount of about €10 million. The share of free float would increase from 14.7% to 17.8% of the company’s share capital.

The issue price of new equity shares will be equal to the weighted average price over the last two trading days preceding the warrants exercise date, with a 5.0% discount. That discount enables Kepler Chevreux, acting as a financial broker that will not remain at the Company’s share capital, to underwrite the subscription of the shares on a firm commitment basis.

Voltalia benefits from a strong financial structure with a cash position of €75 million as of June 30, 2015.