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A Jersey-based Innovation Fund recipient has listed on the Australian Stock Exchange.
SRJ Technologies launched with a 50 cents share price on Friday, which climbed to 75 cents today, representing a 50% increase.
The Initial Public Offering on the ASX raised AU$8m (approximately £4.5m) for the La Collette-based business to fund further development.
The company, which received a £500,000 loan from the now defunct Jersey Innovation Fund, which aimed to create new economic opportunities for the island. It has also received investment from, and signed a strategic partnership with, Japanese firm Mitsui and Co.
Pictured: The company received a £500,000 loan from the now-defunct Jersey Innovation Fund.
SRJ has developed a range of weldless couplings for pipelines, which it hopes will be beneficial to the oil and gas industries.
SRJ and Mitsui steel are now exploring opportunities to access Mitsui’s worldwide infrastructure portfolio across energy, chemical, mining, mineral process and metals projects.
Pictured: One of the SRJ innovations is a clamp that allows pipes to be quickly and safely repaired.
SRJ Chief Executive Officer Alex Wood said the response from the financial markets and investors was extremely pleasing.
“The results of today’s trading affirms our strategic direction,” he said.
“Despite the challenges of 2020, with the global Covid-19 crisis and its impact on the oil and gas sector, there has been very strong interest in the company’s value proposition.”
“Our stock performance today allows us to give a good return to all Jersey-based investors who helped us launch the company, which we believe is a fantastic advertisement for the supportive and innovative culture in the Island.”
Last month, local entrepreneur Aaron Chatterley - who was a member of the original board of the Innovation Fund, which was frozen in 2017 after one of the six companies it had supported failed - said the Government should have taken equity rather than offered loans.
Pictured: Entrepreneur Aaron Chatterley said the Government should have taken equity in businesses it funded.
“If Jersey had taken equity in SRJ, the IPO could have been a perfect time to sell its shareholding and get a decent return; instead, we just got the loan back with a tiny bit of interest,' he said, also calling for another Innovation Fund to be set up.
Last month, SRJ announced that Jersey cardiologist Dr Andrew Mitchell had joined its board.
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