Borregaard backs Alginor with convertible loan participation

Borregaard ASA, alongside Must Invest and Hatteland Group, will guarantee a NOK 200 million convertible loan for Alginor. The loan allows lenders to convert to new shares at a subscription price of NOK 10 per share (subject to adjustment) and aims to secure funding for Alginor's commercial-scale demonstration plant for alginates.

Borregaard's specific share of the convertible loan will range from NOK 83 million to NOK 111 million, depending on broader shareholder participation. This amount will be paid in two equal tranches, scheduled for October 2025 and February 2026. An additional uncommitted tap facility of NOK 100 million will supplement the convertible loan.

Further bolstering Alginor's financial position, the company has secured a new, committed and secured loan facility totaling NOK 230 million from Haugesund Sparebank. This combined financing package is anticipated to provide sufficient capital to complete and commission the crucial alginate demonstration plant.