Plant Impact raises ￡2.1 mln to boost field trials and expand into new markets

Plant Impact  has announced a share issue to raise £2.1 million to hire new sales and marketing personnel to drive sales across the company’s existing markets and accelerate the roll-out of its new productions into new markets.

The  developer of technologies that improve crop productivity is issuing a total of 14.2 million new shares, representing 31.2% of the company’s enlarged capital, at 15 pence. The stock closed yesterday of 25 pence.

The fundraising aims at speeding up the company’s product development by increasing the number of field trials, commercializing Plant Impact’s products more rapidly through increasing the speed and breadth of product demonstration and support partner Arysta LifeScience Corp in marketing and developing pesticide product BugOil in its active territories.

Plant Impact reported a 330% increase in sales revenues for the first six months of the year after implementing a strategy to commercialising its key products through securing distribution opportunities and completing independent field trials.

“I am delighted with the support that we have received in this equity fundraising. I firmly believe that Plant Impact can play a significant role in sustainable agriculture and these funds will help the company to expand sales of its proven products into new and existing territories. The board believes we now have sufficient funding to pursue our strategy,” said Chief Executive of Plant Impact Peter Blezard.

This progress included entering into a licensing agreement for BugOil with Arysta and the signing of an extramural agreement with the United States Department of Agriculture for extensive trials on PiNT, the companys nitrogen delivery technology.

Earlier this month, Plant Impact entered into an exclusive evaluation, development and distribution agreement with Arysta LifeScience Corporation covering the Companys InCa, Balance and Cocoa Stress Tolerance products, expanding its territorial coverage from 24 to 52 countries. The deal is also expected to significantly increase the number of field trials of the company’s products being conducted in the next 12 to 18 months.

InCa product was nominated as a finalist for the category of "Technical Product of the Year" at this years Grower of the Year Awards, which the company said was part of its approach to gaining acceptance of its products from governments and food groups.

The placing is now subject to shareholder approval.