Solarvalue AG (XETRA:SV7) (http://www.solarvalue.com) announced Successful Private Placement Increases Solarvalue AG’s Equity on the DGAP ad hoc service. Sorry, I can’t link to DGAP articles anymore since they have converted to a slick Web 2.0 style interface. Solarvalue placed 275,000 shares with investment funds, asset managers, and private individuals raising share capital to € 840,000. Back at the Berlin Press Conference, Solarvalue talked about increasing share capital by € 115,000 to € 565,000, so this placement is in addition to that capital increase.
Claiming liquid assets of € 2 million, Solarvalue appears undercapitalized to complete the upgrades required at the TDR facility to begin Solar Grade Silicon production. Solarvalue confirms this by disclosing plans for more secondary placements in the first six months of 2007 and presenting at the Kepler Equities Alternative Energies Conference in Paris on February 1, 2007.
Solarvalue has a new Investor Relations contact: Maximillian Fischer of max. Equity Marketing GmbH. Despite this new resource, I have not yet received a reply to my questions about Friday’s press release (see Solarvalue to proceed without Strategic Partners) on Solarvalue’s new arrangement with partner, W&P Profil.
With all these plans for secondary offerings, individual investors should be extra cautious with Solarvalue AG stock as every share increase is dilutive to existing share holders.