Atlantis rolls in £5M through fully subscribed bond offer

Business & Finance

Atlantis Resources has closed the fully subscribed ocean energy bond offer raising the target amount of £5 million less than one month after its launch.

The Edinburgh-based tidal energy developer Atlantis said the funds, together with the capital raised in its recent £4.1 million placing, are expected to be used for the growth of the business, to repay some more expensive debt, and to provide general working capital for the company.

The five-year bond, launched on June 27, 2017, has a coupon of 8%, payable semi-annually, and matures in 2022. It was offered via Abundance Investment, the provider of a regulated green peer-to-peer investment platform.

Tim Cornelius, CEO of Atlantis Resources, said: “This unprecedented demand has caused us to consider follow-on offerings once new viable projects have been identified and development rights secured.

“The ocean is such a vast and untapped resource with many of the best project sites around the world yet to be developed. With the support of Abundance and our bond investors, we will unlock the economic potential of our oceans in a sustainable, predictable and environmentally responsible manner.”

Bruce Davis, Founder and Joint Managing Director of Abundance Investment, said: “The bond raised £5 million from almost 1,300 individuals. It is great to see Abundance investors get behind the Atlantis Resources Ocean Energy Bond and demonstrate how ‘the crowd’ can support truly innovative UK companies with global potential.”

Moreover, Atlantis revealed it is no longer pursuing negotiations with the strategic investor who had expressed an interest in subscribing for a stake in the company, as announced earlier.

The company also said that it will consider the options for issuing a second bond over the course of the next year as more development rights are secured around the world.