Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Powerhouse Ventures won't proceed with Invert Robotics sale

Powerhouse Ventures won't proceed with sale of Invert Robotics stake

By Rebecca Howard

Nov. 14 (BusinessDesk) - Christchurch-based technology incubator Powerhouse Ventures will not proceed with plans to sell a quarter of its Invert Robotics' holding for $1.3 million as one of the sale conditions has not been satisfied.

In September, Powerhouse said it had been approached during Invert's current financing round and announced plans to sell, stating the sale would result in a profit above its current book value of Invert. It currently owns 34.6 percent of the company and the sale would have reduced that to between 23.6 percent and 28.2 percent of the shares.

The deal was conditional to completing a pre-emptive shareholder process and co-sale rights under the shareholder agreement it has with Invert. "Whilst Powerhouse agreed to the now-cancelled transaction, we are more than happy to maintain our higher holding stake in Invert," Powerhouse said.

According to Powerhouse, the potential buyer will now invest directly in Invert's current capital raise to ensure it achieves its required holding level of Invert shares. Invert is undertaking an initial capital raise of A$4 million which is proceeding "terribly well," said Powerhouse chief executive Paul Viney. The book is expected to be closed in a week or two. He declined to name the potential buyer.

Invert will subsequently look to raise around a further A$6 million to "enable M&A expansion throughout Europe," he said. The second part will take place over the next 12 months, according to Viney.

Invert Robotics has developed a novel climbing robot system for remote inspection services in the dairy and food processing sectors as well as the aviation industry. According to Powerhouse it has an enterprise value of $10.7 million and seven employees.

Powerhouse shares recently traded at 35 Australian cents on the ASX and have more than halved this year.

(BusinessDesk)


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

CO2 And Water: Fonterra's Environment Plans

Federated Farmers support Fonterra’s bold push to get to zero emissions of CO2 on the manufacturing side of the Co-operative, both in New Zealand and across its global network. More>>

ALSO:

Fisheries: Decision To Delay Monitoring ‘Fatally Flawed’

Conservation group representatives say a decision by the new Minister of Fisheries, Stuart Nash, to delay implementation of camera monitoring of fishing efforts in New Zealand is ‘fatally flawed’. More>>

ALSO:

Kaikōura Quakes: One Year On

State Highway One and the railway were blocked by damage and slips and the Inland Road suffered significant damage. Farms, homes and businesses suffered building and land damage. Power and internet went down, drinking water systems, sewage systems and local roads were all badly affected... More>>

ALSO: