January 4, 2024: An accelerated sales process is underway to seek potential buyers of lithium and sodium ion batteries developer AMTE Power, the company said on December 28.
The announcement came after the firm said on December 19 it intended to appoint administrators and suspend trading of shares when a planned deal with Pinnacle International Capital fell through.
A conditional subscription agreement between AMTE and Pinnacle, first announced last July, sought to raise £2.5 million ($3.2m).
A conditional placing agreement to raise a further £400,000 and a £200,000 convertible loan facility with Pinnacle was also proposed.
However, AMTE said on December 19 Pinnacle had extended the long stop date for completion of the subscription agreement from December 20, 2023 until January 12, 2024, as a result of a delay in receipt of its advisers’ due diligence report and the holiday period.
AMTE said it had served a drawdown notice but Pinnacle declined to advance funds under the convertible loan.
The board had no other options to secure finance in the time available and concluded AMTE had insufficient funds to continue trading and intended to appoint FRP Advisory as administrator of the company.
AMTE’s temporary suspension of trading on the Alternative Investment Market, a sub-section of the London Stock Exchange, was announced on December 19. In the interim, FRP Advisory will manage an accelerated sale process to seek potential buyers of the business and assets of the company.