Ensurge Micropower ASA - Contemplated Private Placement

 

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO AUSTRALIA, CANADA, HONG KONG, JAPAN OR THE UNITED STATES OR ANY OTHER JURISDICTION IN WHICH THE RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL. THIS ANNOUNCEMENT DOES NOT CONSTITUTE AN OFFER OF ANY OF THE SECURITIES DESCRIBED HEREIN. 

Ensurge Micropower ASA ("Ensurge" or the "Company") has engaged Arctic Securities AS and Skandinaviska Enskilda Banken AB (publ) (the “Managers”) to advise on and effect a contemplated equity financing. The Managers commenced wall crossing of potential investors on Tuesday 17 September 2024. Shortly following the time of commencement of the wall crossing, substantial volumes of shares in the Company were sold in the market, in more than one transaction, which sales continued through the trading day on Oslo Børs on 17 September 2024 and into the trading day on 18 September 2024. This caused an overall decrease in the share price by about 30%. The Company suspected that there might have been unequal information in the market and, as a result, proceeded to contact Oslo Børs Market Surveillance in the morning on 18 September 2024 and suggested that trading in the Company’s shares was suspended pending an announcement by the Company. Trading suspension was put in place by Oslo Børs at 09:46 am CET on 18 September 2024.

There are no events or circumstances in the Company, other than the contemplated equity transaction, that is not public and which, if made public, would be likely to have a significant effect upon the pricing of the Company’s shares. 

Following the wall crossing and the indications received, the Company contemplates conducting a private placement of between 50 and 75 million new ordinary shares in the Company (the "Offer Shares" and the "Private Placement"). 

The subscription price per Offer Share (the "Offer Price") will be NOK 1.0. 

During the wall-crossing phase the Managers have received strong interest from new high quality and existing shareholders, including DNB Asset Management which has committed to subscribe for and will be allocated New Shares in the Private Placement for a total amount of NOK 5,000,000.

The net proceeds from the private placement will be used to fund the Company’s operations covering a 25% increase in operations personnel so far and a ramp up in capital expenditures in half of 2024 to change a production line in order to produce larger production volumes. Over the next 3-9 months Ensurge Micropower expects funding from incubation services, joint development agreements, battery sales and license agreements to complement this equity funding.