Renewable energy supplier Good Energy has been on Plus-quoted for nearly eight years but it plans to move to AIM on 24 July.
Good Energy is based in Chippenham in Wiltshire and offers 100% renewable electricity to its customers. The origins of the business go back to 1997 when it was an off shoot of a German power company called Unit Energy Europe and it received its electricity licence in 1999. The business was acquired by the company, then known as Monckton Group, at the beginning of the century. The company launched an offer for subscription raising £600,000 at 50p a share in 2002. Two years later another offer at 75p a share raised £1.03 million prior to joining Ofex (Plus-quoted) on 1 September 2004. In 2007, it raised £1.07 million at 110p a share - or 100p a share for existing shareholders, customers and employees. There have been no significant share issues since then.
Chief executive Juliet Davenport believes that a move to Aim will help Good Energy to attract institutional investors and enable the company to raise cash to finance expansion. Good Energy reported a profit of £1.06 million on revenues of £21.6 million for 2011 with generation making a much larger contribution than the year before.
Good Energy operates a 9.2MW wind farm at Delabole in Cornwall and is planning a 4.6MW wind farm in Aberdeenshire. The electricity it supplies also comes from a network of 38,500 independent green energy producers. Good Energy supplies 30,000 customers with electricity and 6,700 with gas.
Obtaining enough generating capacity is a constraint on growth and in the past Good Energy has had to turn away customers because it doesn’t have enough renewable electricity.
Good Energy is looking at other forms of generation, such as small hydro and solar.
Market: Plus-quoted
Symbol: GEGP
Price: 115p
12-month high/low: 115p/80p
Market cap: £9 million
