Kedco raises almost €1.6m

Cork-headquartered alternative energy specialist Kedco has raised nearly €1.6m in fresh funding — from new and existing investors — to meet working capital needs and aid development of flagship projects.

The AIM-listed “waste- to-energy” firm has entered into a rolling, monthly working capital facility with one of its chief shareholders — Farmer Business Developments plc, which owns 26.79% of the business — which is capped at €500,000. This facility has no maturity date, but is repayable on demand. Any draw-downs made will accrue interest at a rate of 5% per year.

Furthermore, €215,000 has been raised, in loan notes, by Kedco’s wholly- owned subsidiary, Reforce Energy Ltd to fund development costs on wind turbine projects.

Kedco has also announced that it has agreed funding for its 800kw Pluckanes Windfarm project, just north of Cork city, with AIB. Construction work on the site is well advanced and delivery of the wind turbine equipment is due in the next fortnight. Kedco claims the project remains on track to export electricity to the national grid by the end of next month.

Meanwhile, Ulster Bank has also made available working capital of £750,000 (€875,000) for Kedco to use to fund the continued build-out of its 4mw biomass project in Newry.