The company raised only NIS 1 million from the public after raising NIS 44 million from institutions.
Trading in the shares of Brenmiller Energy on the Tel Aviv Stock Exchange (TASE) will begin the coming days, after the company’s share offering to the public was held last Thursday. In contrast to the part of the IPO for investment institutions, in which the company raised NIS 44 million, the public part, in which the company was seeking to raise NIS 16 million, failed to attract many investors; proceeds barely exceeded NIS 1 million.
Brenmiller’s proceeds from its IPO therefore totaled NIS 45 million at a company value of NIS 153 million, before money. Company founder and CEO Avi Brenmiller, who was the company’s sole owner before the IPO, now owns 77% of its capital. Brenmiller, who financed his company by himself up until now, will convert a NIS 124 million owner’s loan to the company into capital. Before the IPO, Brenmiller Energy had a NIS 117 million equity deficit.
Leumi Partners Ltd. and Epsilon Investment House Ltd. led the offering.
Founded five years ago, Brenmiller Energy initially developed and constructed thermo-solar fields, and its business model was based on the construction of such fields for electricity producers. After several years, the company decided to focus on a system for storing heat energy.
The device developed by the company’s engineers is capable of absorbing energy from a variety of sources, including wind energy stations, solar panels, and the electrical and water networks. It stores the energy and supplies electricity by generating steam. Competition in the field comes from other energy storage solutions, such as concrete-based solutions, now being developed.
As of now, the company has no revenue, which the company expects only in 2018, when it will begin building two power station construction projects in Mishor Rotem near Dimona. Most of the proceeds from the IPO are designated for these projects.