Renewable energy generator and retailer Delorean Corporation has more than doubled its share price on its first ASX trading day.
Renewable energy generator and retailer Delorean Corporation has more than doubled its share price on its first ASX trading day.
At trade close, Delorean shares were trading at 42 cents - more than double its issue price.
Deloeran is a virtually integrated group of companies specialising in the design, build, ownership and management of bioenergy infrastructure, as well as associated power generation and retail.
Delorean’s ASX debut follows the completion of an initial public offering last month, raising $14 million after achieving revenue of $31.2 million in FY2020 and underlying earnings of $3.6 million.
The company issued 70 million shares at a price of 20 cents, with its IPO providing a market capitalisation of $35.9 million upon listing.
The IPO was led by RM Corporate Finance and Morgans Financial and received support from a number of institutional investors and more than 800 retail shareholders.
Delorean managing director and co-founder Joe Oliver said the IPO had been oversubscribed multiple times and that the company was pleased with the support it had received from existing shareholders and the wider market.
Mr Oliver was a 2021 Business News 40under40 First Amongst Equals finalist and winner of the City of Perth Strategic Alliance Award.
Delorean’s other founder and executive chair, Hamish Jolly, is a 2006 Business News 40under40 winner and the company’s non-executive director Steve Gostlow, is a 2013 award winner and former managing director of waste management service Tox Free Solutions.
“We thank those shareholders who came on board early in the pre-IPO and subsequent IPO raisings and new investors in Delorean today,” Mr Oliver said.
“As large shareholders ourselves, we share Delorean’s vision to capture a large share of the growing bioenergy market going forward.
“We look forward to deploying the IPO capital into our infrastructure project pipeline to realise the vision of direct bioenergy asset ownership and operation as a national renewable ‘gentailer’, creating shareholder value through our vertical integrated platform.”
The group plans to use the funds from the IPO to continue to develop renewable energy infrastructure across Australia and New Zealand.
Delorean has two projects in South Australia and New Zealand under construction, with additional projects in SA and Victoria shovel ready and expected to now commence post IPO.
One of the group’s most notable projects includes a bioenergy plant in Jandakot, which diverts commercial and industrial waste (food and organic waste) from landfill and converts it into grid power, while capturing and reusing nutrients for soil improvement.
Commissioned in 2015, the Jandakot facility has since diverted more than 100,000 tonnes of waste from landfill.
At the time of writing, Delorean Shares were trading at 35 cents.
