HydroWorks to raise another $A1.5M before ASX listing next year

HydroWorks, a Christchurch-based hydro-electricity turbine innovator, is going across the Tasman to raise $A1.5 million, having just raised the almost same amount in New Zealand, ahead of an ASX listing slated for the first quarter of next year.

HydroWorks raised $1.5 million in an oversubscribed offer of convertible notes in New Zealand, and is heading to Australia for a pre-initial public offering offer, with roadshows planned in Perth, Sydney, and Melbourne, it said in a statement. HydroWorks has appointed Ventnor Capital corporate adviser on its planned listing, which it hopes to do next year.

The company is one in a portfolio of companies with ties to Powerhouse Ventures, which is separately seeking to raise $A20 million in an ASX listing.

"I would like to thank all those who participated in the New Zealand pre-IPO offering for their support and confidence," chief executive Andrew Rodwell said. "This has been a key milestone in HydroWorks' history and we look forward to the next exciting growth phase of the company."

HydroWorks claims its use of a turbine design based on proprietary fluid dynamics algorithms allows it to produce increased output from existing hydro generation plant, with gains of as much as 15%  achieved in some cases. Its business model is based both on new builds and retrofitting existing hydro dams with more efficient turbines.

The company raised $1.4 million through crowdfunding platform Equitise last year when it had been looking to list on the ASX in 2016.

Founder Rik Hothersell is the company's biggest shareholder with 30%, followed by Powerhouse Ventures with 23% and the New Zealand Ventures Investment Fund with 17%.

(BusinessDesk)