Hexagon Composites ASA: Participation in Hexagon Purus’ contemplated private placement

Tue 02, 2022 - Stock Exchange Release

Hexagon Composites ASA announces that its listed subsidiary Hexagon Purus ASA (HPUR) (the “Company”) has engaged Carnegie AS and Skandinaviska Enskilda Banken AB (publ) Oslofilialen as Joint Global Coordinators and Joint Bookrunners in the Private Placement (collectively the “Global Coordinators”) and Sparebank1 Markets (together with Global Coordinators the “Managers”) to advise on and effect a contemplated private placement (the “Private Placement”) of new ordinary shares in the Company (the “Offer Shares”), raising gross proceeds of approximately NOK 600 million (the “Private Placement”). The subscription price per New Share in the Private Placement (the “Subscription Price”) will be set by the Company’s Board of Directors (the “Board”) on the basis of an accelerated book-building process conducted by the Managers.

Hexagon Purus is a world leading provider of hydrogen Type 4 high-pressure cylinders, battery systems and vehicle integration for fuel cell electric and battery electric vehicles. Hexagon Composites ASA (“Hexagon”), being the Company’s largest shareholder controlling 73% of the outstanding shares prior to the Private Placement, has, subject to customary terms and conditions, pre-subscribed for its pro-rata share or approximately NOK 440m of the Private Placement at the subscription price determined through the book-building process.

“The overall development of Hexagon Purus has significantly exceeded our expectations since the spin off in December 2020. The Company has more than doubled its year-over-year (organic) revenue growth, landed several landmark customer contacts, carried out a transformative acquisition of Wystrach and established a joint venture in China, the world’s largest hydrogen market,” says Jon Erik Engeset, President & CEO Hexagon Composites.

“Hexagon is fully supportive of the Company’s growth and expansion strategy, and we are confident about the value creation potential from our Hexagon Purus shareholding. Our intention, as previously stated, is to take Hexagon Purus to the main list on the Oslo Stock Exchange before the summer of 2022.”

The net proceeds from the Private Placement will be used for:

  • Cylinder and systems capacity expansion across geographies to meet customer demand;
  • Investments in automated manufacturing facility and technical center of excellence in Kelowna, Canada to support and increase production capacity for battery packs and hydrogen storage systems;
  • Investments in production capacity in China to serve the fast-growing Chinese market through the joint venture with CIMC Enric;
  • Organizational scale-up to support continued technological development and capacity expansion; and
  • Working capital as well for general purposes.

For further details, please see Hexagon Purus’ announcement; Hexagon Purus ASA: Contemplated private placement, 15 February 2022.

For more information please contact:

Karen Romer, SVP Communications, Hexagon Composites
Telephone: +47 950 74 950 | [email protected]

Hiva Ghiri, VP Investor Relations
Telephone: +47 958 66 790 | [email protected]

This information is considered to be inside information pursuant to the EU Market Abuse Regulation. This stock exchange announcement was published by Hiva Ghiri, VP IR at Hexagon Composites, on 15 February 2022 at 16:30 CET.

About Hexagon Composites ASA

Hexagon delivers safe and innovative solutions for a cleaner energy future. Our solutions enable storage, transportation, and conversion to clean energy in a wide range of mobility, industrial and consumer applications. Learn more at www.hexagongroup.com and follow @HexagonASA on Twitter and LinkedIn.

About Hexagon Purus

Hexagon Purus, a Hexagon Composites company, is a world leading provider of hydrogen type 4 high-pressure cylinders, battery packs and vehicle systems integration for fuel cell electric and battery electric vehicles. Hexagon Purus enables zero emission solutions for light, medium and heavy-duty vehicles, buses, ground storage, distribution, maritime, rail and aerospace. Learn more at www.hexagonpurus.com and follow @HexagonPurus on Twitter and LinkedIn.