ITM Power slumps after discounted share placing

Energy storage and clean fuel specialist ITM Power's placing of new shares was oversubscribed.

The placing of approximately 57.5m shares was conducted by Investec and Merrill Lynch via an accelerated bookbuilding process among institutional directors and certain directors.

ITM Power netted gross proceeds of £250 from the placing, having priced the new shares at 400.0p.

Those included cornerstone investor Linde AG and seven members of the manufacturer's top management, who between them scooped up roughly 5.01m of those shares.

The green hydrogen company's polymer electrolyte membrane (PEM) electrolyzers produce through electro-chemical splitting of water into hydrogen and oxygen, in a process known as electrolysis.

That resultant hydrogen output, which can be stored, can then be injected into the gas network as Power to Gas.

It also helps to decarbonise industrial uses and can provide hydrogen for fuel cell products.

As of 1036 BST, shares of ITM Power were trading 7.41% lower at 439.60, having earlier fallen as low as 439.60.