Plutus Powergen makes progress in £5.4m energy project

17th Nov 2014 14:22

Emergency electricity generator developer Plutus Powergen has taken a step towards securing £5.4m to build its first power plant.The group said its wholly owned subsidiary Plutus Energy had completed the first stage of an equity fund-raising for the construction of its first 20 megawatts of stand-by power generation.AIM-listed Plutus has done a deal with Rockpool Investments, which offers private investors the chance to invest directly in private companies using UK tax relief schemes such as the Enterprise Investment Scheme.Rockpool will invest in a special company set up to help it build the plant and provide working capital.Plutus' chief executive Phil Stephens said: "The market fundamentals in the UK for flexible power generation are highly positive."With this funding now secured, the structure of which is in line with our strategy to limit dilution of investors in PPG, we have met a crucial milestone in the delivery of our first 20 megawatt project, which we anticipate will be the first of many with Rockpool Investments."Shares fell 0.1p or 11.4% to 0.77p at 16:03 in London.