31 January 2005

Wind drives MCC Energy float plans.

Financial Times
© 2005 The Financial Times Limited. All rights reserved

An energy consultancy group is to list on Aim next week after raising just under Pounds 3m - but it has ambitions to expand rapidly, writes David Blackwell.

At the placing price of 50p, MCC Energy will have a market value of about Pounds 13m. But Anthony Moore, the executive co-vice chairman, expects the company to make an early acquisition "to show how well we can do it". It will then return to the market for further funds for a bigger acquisition in the next three to six months.

The company has three areas of interest - renewable energy, including biomass projects and wind farms; energy conservation in commercial buildings; and new technology.

It has attracted interest from half a dozen institutions that understand its business and want to invest in future deals.

"We want a core group of investors who know us and will back us," explained Mr Moore.

MCC Energy is being spun off from MCC, the global private equity solutions business founded by Mr Moore in Los Angeles in 1999.

MCC Energy is chaired by John Devaney, chairman of Marconi and chairman as well as co-founder of BizzEnergy, an electricity group. Lord Parkinson is chairman of MCC Energy's advisory board.

Mr Moore said the fees earned were enabling the company to work for energy companies at the other end of the scale in return for lower fees coupled with an equity interest.

For example, the company was taking equity in HydroVenturi, a wave power spin-out from Imperial College.

"The company is not run for cash," he said. "The excitement is equity ownership."

The nominated adviser is KBC Peel Hunt.

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Document FTFT000020050131e11v0001s