Renewable energy company Kedco, backed by a farmers’ investment vehicle, hopes to defy the slump in the global stock markets as it makes its debut on AIM today with an initial market capitalisation of €34.9 million (£26.9).
Renewable energy company Kedco, backed by a farmers’ investment vehicle, hopes to defy the slump in the global stock markets as it makes its debuts on AIM today with an initial market capitalisation of €34.9 million (£26.9).
Cork-based Kedco, which specialises in the generation of electricity from sustainable fuel sources, has raised €16 million in funding since it was founded in 2005 by chief executive Donal Buckley and three other directors.
Kedco is not raising money as part of the flotation, but is looking to tap the market for cash after Christmas to develop its growth strategy, when it is believed it may seek to raise more than €10 million. The stock admission price has been set at 17.5c per share.
Farmer Business Developments, a farmers’ investment firm, acquired a 25 per cent stake in the venture this summer.
The main focus of the business has been to provide biomass heat and solar devices, such as wood pellet boilers and solar collectors, as well as setting up joint ventures with medium-sized waste operators, food companies and agricultural operators in order to set up plants that convert waste into energy.
Buckley said: “We’re in a sector that’s been least affected by the effects of the credit crunch on the stock markets. Our project pipeline is very much based in the UK and we believe it’s important to be a regulated stock market-quoted company.”