Deadline looms for wind turbine offer

By Phil Boeyen, ShareChat Business News Editor

Thursday 21st June 2001

A Christchurch-based company looking to raise a minimum $2 million to make wind turbines is upset that is has to close its investment offer ahead of schedule.

Windflow Technology went to the market in February to raise the cash to establish a wind turbine manufacturing plant, and the offer was due to close next week.

The offer was extended three weeks ago but will now have to abide by its original closing date of June 26.

"We are very encouraged to have reached 56% of the minimum required for the company to proceed, and we are in discussions with substantial investors to achieve our target", says Windflow CEO Geoff Henderson.

"However we are bitterly disappointed that we have received advice from the Companies Office so late in the process requiring us to close the offer ahead of schedule."

Mr Henderson says interest in the investment has been heightened by the recent electricity price hikes, which have highlighted the need for alternative generation such as wind power.

Windflow says so far 200 investors have subscribed for just over $1.1 million of shares in the company's offer. A minimum total subscription of 1.35 million shares at $1.50 is needed for the share offer to proceed, although the company was hoping to issue 2 million shares.

Shares in the company will not be listed.

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