Pure Hydrogen’s Placement Priced at A$0.085 with 5.8 Million Attaching Options

Capital Raise to Support Growth Ambitions

Pure Hydrogen Corporation Limited (ASX, PH2), an Australian clean technology company focused on zero emissions vehicles and energy projects, has announced a successful capital raise of A$1 million. The funds were secured through a placement of nearly 11.8 million shares priced at A$0.085 each, accompanied by unlisted options exercisable at A$0.15 within three years.

This placement represents a strategic move to bolster Pure Hydrogen’s expansion plans in both the United States and Australia, where the company is actively developing its clean energy footprint. The capital injection will also support new vehicle deliveries and provide essential working capital to sustain ongoing operations.

Director Participation and Shareholder Approval

Notably, the company’s Managing Director, Scott Brown, alongside other directors, has committed to participate in the placement, subscribing for approximately A$75,000 worth of shares combined. However, their participation remains subject to approval by shareholders at the upcoming Annual General Meeting, adding a layer of governance oversight to the transaction.

The placement price reflects a roughly 17% discount to the last closing price of A$0.1025, a common practice in capital raises to incentivize investor participation. Investors will also receive one unlisted option for every two shares subscribed, providing potential upside if the company’s share price appreciates above the A$0.15 exercise price within the next three years.

Strategic Focus on Clean Energy and Market Expansion

Pure Hydrogen’s vision centers on becoming a leader in zero emissions vehicles and energy solutions, with a particular emphasis on supplying domestically sourced hydrogen fuel. The company is also involved in natural gas projects in Australia and Botswana through its stake in Botala Energy, reflecting a diversified approach to clean and transitional energy markets.

The fresh capital will enable Pure Hydrogen to accelerate its commercial activities, particularly in the US market where clean energy demand is growing rapidly. It also supports the rollout of new zero emissions vehicles, a critical component of the company’s strategy to capture market share in the evolving energy landscape.

Options Terms and Investor Incentives

The attaching options granted under the placement are unlisted and carry an exercise price of A$0.15, expiring three years from issuance. These options provide investors with a leveraged opportunity to benefit from future share price appreciation without immediate capital outlay. However, they do not confer rights to participate in dividends or new issues until exercised.

Pure Hydrogen has clarified that these options will not be quoted on the ASX, which is typical for such instruments, and has outlined detailed terms to protect both the company and investors in scenarios such as capital reorganizations or company wind-up.