The move should have a two-fold benefit for the group’s shares, allaying fears over a massive diluting overhang, while also freeing up cash used for interest payments.

The anchors could now be off Powerhouse Energy Group PLC (LON:PHE) and its shares may be free to sail higher following a move this week to raise funds to repay a loan note which has been seen as a drag on the stock.

The green energy firm revealed on Wednesday that it has raised £2.5mln through a placing of shares at 0.8p each, the proceeds of which will largely be used to repay the convertible loan note facility with Hillgrove.

The finance house has accepted a £2mln offer to buy back the unconverted loan notes, while a final batch of the paper will be converted at 0.5p each, earning Powerhouse £1.4mln and raising Hillgrove’s holding to just over 300mln shares, around 25% of the firm’s issued share capital.

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