5 September 2018
Enova Energy embraces equity crowdfunding
- Australia’s first community owned energy retailer embracing crowd funding for next stage of expansion
- Become a shareholder in the energy revolution for just $100 (100 shares)
Australia’s first community owned energy retailer, Enova Energy, is using equity crowdfunding to allow as many Australians as possible to help drive its community-led energy transition.
“Two years from obtaining our licence and starting up in the Northern Rivers, funded by individuals, families and community organisations from around Australia, Enova achieved our target customer numbers of 5000, including 300 local businesses, and hit $5.2 million in annual revenues,” Enova Chair Alison Crook AO said.
“Now, Enova is scaling up to replicate our model, expanding into more communities across New South Wales, Queensland, Victoria and South Australia. We are tracking towards a 100% renewable model where local homes and businesses produce, consume and share Australia’s abundant solar resource, supported by other sources of renewables and batteries.”
“Our profits will be shared between our investors and our non-profit arm that installs renewables in low income housing, delivers energy efficient services and energy education, and co-designs innovative local renewable energy generation projects including enabling renters to participate in the solar revolution.”
Enova has partnered with Crowd88 to facilitate the crowd-sourced funding approach https://www.crowd88.com/en/company/enova-energy/overview/ and Enova Managing Director Tony Pfeiffer said the appetite from across Australia continues to grow.
“There’s no doubt that the Australian energy market is ripe for disruption and Enova Energy is proud to be leading the way,” Mr Pfeiffer said. “While it is possible for retail investors to invest up to $10,000 under the equity crowdfunding rules, our aim with this share offer with a minimum subscription of $100 is to encourage as many people as possible to invest in Enova and help drive a community-led energy transition.”
“A future powered by renewable energy, shared within communities and generated as locally as possible to minimise waste and costs is within our grasp.”
Mr Pfeiffer said Enova’s three strategic priorities are:
- Reduce the cost of wholesale energy (Enova is negotiating a Power Purchase Agreement backed by renewable growth over the next two years with stable pricing that reduces our wholesale energy costs and allows us to ensure our products are priced attractively, including for people who can’t afford solar panels or are not able to install them because they live in apartments or rent).
- Accelerate growth of customer base
- Develop strategic partnerships
The crowd funding closes on October 4 2018
CORPORATIONS REGULATIONS 2001 – RISK WARNING ABOUT CROWD-SOURCED FUNDING
- Crowd-sourced funding is risky. Issuers using this facility include new or rapidly growing ventures. Investment in these types of ventures is speculative and carries high risks.
- You may lose your entire investment, and you should be in a position to bear this risk without undue hardship.
- Even if the company is successful, the value of your investment and any return on the investment could be reduced if the company issues more shares.
- Your investment is unlikely to be liquid. This means you are unlikely to be able to sell your shares quickly or at all if you need the money or decide that this investment is not right for you.
- Even though you have remedies for misleading statements in the offer document or misconduct by the company, you may have difficulty recovering your money.
- There are rules for handling your money. However, if your money is handled inappropriately or the person operating the platform on which this offer is published becomes insolvent, you may have difficulty recovering your money.
- Ask questions, read all information given carefully, and seek independent financial advice before committing yourself to any investment.