1414 Degrees pulls the plug on capital raising

Business uncertainty and interest from industrialists and financiers has led to 1414 Degrees Limited deciding not to proceed with an offer of discounted shares to shareholders to raise new capital.

The raising was to have funded the next phase of the company’s technology roll-out centred on solar generation and storage at the giant Aurora Project near Port Augusta in South Australia.

The South Australian company recently took over the project, and has SA Government development approval for a 70 MW solar PV farm and 150 MW of generation from a concentrated solar thermal plant (CST).

However, the company announced that the global economic and market conditions have significantly deteriorated in the past week.

“The Company is not going to proceed with the offer.

“Directors will continue to monitor conditions and note that there is adequate working capital that will be boosted by a $2.748 million R&D refund next week.”

1414 Degrees said the Silicon Aurora acquisition and plans for 1414 Degrees’ Silicon Power Plant had prompted major finance and industrial entities to engage with its commercial and business team to study the benefits and applications.

At the same time the Silicon Aurora team are advancing power and heat offtake sales to drive the project financing.

“Management have been undertaking a number of measures that will reduce recurrent expenditure.

“The company has leased new premises that will allow it to combine the corporate and engineering teams at one site to ensure common focus on the development and commercialisation of its technology, with the benefit of reducing accommodation costs.”

Picture: 1414 Degrees/Aurora Project

Subscribe to our free @AuManufacturing newsletter here.