Wasabi Energy placed into voluntary administration
Shot from the Kalina Cycle video (source: Wasabi Energy via BRR)
Alexander Richter
30 Dec 2013
Wasabi Energy has been placed into voluntary administration after a rights issue fell short in raising funds for loan repayment, a project purchase in Turkey and raising working capital for the company.
Australian company Wasabi Energy (LON:WAS) has annunced that it has been placed into voluntary administration.
It followed an announcement earlier that group would be returning the proceeds from a recent cash call.
In a short statement, the group told investors: “Following the consideration of its current financial position, the directors of Wasabi Energy Limited(Wasabi) today resolved to place Wasabi into voluntary administration and appointed John Lindholm and Stewart McCallum of Ferrier Hodgson as joint and several administrators of Wasabi.
“The board is committed to working with the administrators to determine the future of Wasabi and a further update will be provided to shareholders shortly.”
These news follow an announcement just before Christmas, that the company fell short under its rights issue offer of AU$13.8 million. In November 2013, the company announced it wanted to raise up to $14l8 million through a rights issue to complete the purchase of the Tuzla Project and to pay off its debt and provide working capital.
Due to the shortfall, the shares were suspended from trading pending clarification of its financial position, not having riased sufficient funds for paying off outstanding loan notes or to fund the purchase of the Tuzla geothermal power project in Turkey.
Source: Proactive Investors
