OGA now trading on ASX
Following the completion of its oversubscribed Initial Public Offering (IPO), world first commercial greenlip abalone sea ranching company, Ocean Grown Abalone (OGA), confirmed earlier this month that it is now trading on the Australian Stock Exchange under ASX code OGA.
Brad Adams, Managing Director of Ocean Grown Abalone Ltd, in a statement thanked investors for their support in the IPO and commented on the company’s good position to accelerate development of its clean, green and sustainable sea ranching model.
“Listing the Company on the ASX is a key milestone in unlocking many opportunities for OGA to expand our business and bring our unique produce to lucrative Asian markets where demand for the delicacy is strong.”
“With your support, the Company is now well-funded and well positioned to accelerate our expansion strategy and deliver value for our shareholders”, he said.
The Company issued 40,000,000 shares at an issue price of $0.25 per share, raising $10 million in its IPO which was backed by Morgans Corporate Limited as Lead Manager and Underwriter and View Street Partners as Corporate Advisor.
- OGA operates a ‘sea ranching’ business; a technique where hatchery bred juvenile abalone are placed on OGA designed artificial reefs (abitats), which are placed in the ocean and left to nature to grow for 2-3 years until they reach a marketable size. They feed and survive in the wild.
- The company can supply year round to meet market demands to whatever size or product specification the market requires.
- OGA was incorporated in January 2011; they initially established a 5 000 abitat ranch in Flinders Bay, Augusta, Western Australia (Flinders Bay Project 1). Harvesting at Project 1 commenced with the first sales of the mature greenlip abalone from September 2016 primarily for the individual quick frozen meat market in Hong Kong.
- OGA then obtained approvals for and commenced construction of a second 5,000 abitat sea ranching project at Flinders Bay (Flinders Bay Project 2) in April 2017. 1960 abitats have been constructed for Flinders Bay Project 2, positioned on the ranch and seeded with 784,000 juvenile abalone in 2017.
- The company has been issued with seven research leases for its Port Lincoln Research & Development Project in South Australia. The Port Lincoln R&D project has commenced, and Abitats were seeded with juvenile abalone in late September 2017 for a 12-month trial. Early indications are promising with good survival and growth noted. Abalone research scientists from South Australian Research and Development Institute (SARDI) will undertake initial assessments of the trial sites by 31 December or earlier. OGA has also been successful in obtaining a $100,000 funding grant from Fisheries Research and Development Corporation (FRDC) to assist the company with research costs of this project.
- Ocean King Fishing, OGA’s partner in Wylie Bay, Esperance has commenced commercial operations with the construction, deployment and seeding of 400 Abitats. These were seeded with 160,000 juveniles in October 2017. OGA looks forward to monitoring the progress of the ranch in the coming months.
- OGA had a successful harvest for the FY17 financial year, producing 17.2 tonnes from its Flinders Bay ranch. The harvest for the Flinders Bay ranch for the current financial year is looking even better with 15.6 tonnes already harvested between 1st July – 8th November 2017.
For further information head to: https://www.oceangrown.com.au/investors/asx-announcements/