Biofutures raises STG32.5m via share placing

BIOFUTURES International Plc had on Friday successfully raised STG32.5 million (RM151.5 million) via share placing in conjunction with its proposed acquisition of Platinum NanoChem Sdn Bhd, a Malaysian biofuels specialist.

This is to provide the enlarged group with sufficient funds to implement its expansion strategy and for working capital purposes.

"The proposed acquisition of Platinum Nanochem and the successful fund-raising represent a significant opportunity to enhance shareholder value," Biofutures chief executive officer Joe Wong said in a statement over the weekend.

The enlarged group is poised for growth based on its established revenue-generating business model and its ability to apply its Graphene production technology to a range of products targeting major markets in the near and long term.

Biofutures International will be renamed Graphene NanoChem Plc after the completion of the acquisition and the placing.

Platinum NanoChem is a global nanotechnology company whose established revenue-generating business model is to design, formulate, manufacture and market a range of intellectual property-backed speciality chemicals and advanced materials including Graphene from waste feedstocks.

The directors believes that the acquisition offers an opportunity to enhance shareholders' value and move Biofutures from its current position and considerable exposure to volatile commodity prices into the manufacture of value-added products with higher margins within niche markets.

The enlarged group will aim to exploit the global megatrend towards sustainability through the supply of waste-based, high-performance, cost-competitive products into global markets and to focus on the opportunities afforded by Graphene-enhancement.

Graphene NanoChem will be led by Datuk Jespal Deol, who will be supported by a strong and experienced management team and staff with significant technical and business expertise, and a successful track record, in relevant sectors.

"We are delighted to be able to offer shareholders the unique opportunity to participate in our growth story as the enlarged group," said Jespal, who is currently CEO of Platinum NanoChem.

"We have a clearly defined strategy to exploit our existing market positions and product portfolio within specialty chemicals, while driving our commercialisation strategy for Graphene-enhanced applications in niche markets," he said.

Biofutures International, which was incorporated in England in February 2006, is the parent company of Zurex Corp Sdn Bhd, a company incorporated in Malaysia.

Zurex owns and operates a 200,000-tonne-per-annum palm oil refinery in Lahad Datu, Sabah, and has a licence to manufac-ture biodiesel from palm oil. Bernama