Quadrise PLC (AIM:QED) saw strong investor backing in its equity raise, as this morning it confirmed an upsized and oversubscribed placing has raised £4.5 million.
The small-cap cleaner fuel company will issue some 150 million new shares priced at 3p each, in the placing that is also supported at the same time by a direct share subscription by directors to bring in another £300,000.
Retail investors are also being given the chance to participate with a separate share offer, on the same terms, to potentially raise another £1 million of capital.
Altogether, Quadrise may bring in £5.8 million of gross proceeds from the processes.
The proceeds are expected to allow Quadrise to maintain its strong momentum towards commerciality for its cleaner fuels products MSAR and BioMSAR, by allowing it to keep working on four key projects in parallel.
Currently advancing are the 3-way marine fuel vessel trials between Quadrise, MSC and Cargill, a power generator trial in Panama with partner Sparkle, engine testing of new prototype 100% biofuel fuels (bioMSAR Zero), and, in Utah, the Asphalt Ridge venture with Valkor.
Plus, a separate fuel trial is in the planning in Morocco, as a prerequisite to a commercial fuel supply deal.
With the injection of capital in place, Quadrise expects to be able to support each venture in parallel to bring each from trial to commerciality.
“The board believes that the net proceeds of the placing and subscription will provide Quadrise with working capital resources to June 2026, by which time projects with MSC, OCP, Valkor and Sparkle are expected to be generating commercial revenues subject to project milestones meeting currently anticipated timelines,” the company said in a statement, launching the fundraise after Thursday’s close.
Quadrise added: “The company's strategy is to generate demand amongst the shipping industry and to stimulate the supply of our fuels around global marine bunkering hubs.
“Our projects are designed to fulfil this strategy, with each now nearing a major milestone.
“Focus is on completion of the trials and agreements that will demonstrate MSAR® and bioMSAR™ technology at commercial scale.”
The retail offer is being run on the Bookbuild platform.