European Green Transition's loss widens but says year 'robust'
European Green Transition PLC reported an increased loss but noted ‘many significant milestones’ in its first year during which its stock traded in London.
Shares in the company were trading 3.5% higher at 7.50 pence each on Wednesday afternoon in London.
European Green Transition, which is developing green economy assets in Europe, completed its listing on AIM in April, 2024 and raised £6.5 million gross in the process.
The company generated no revenue for 2024, unchanged from the prior year.
Administrative costs meanwhile more than tripled to £1.8 million from £573,524. This included an employee benefit expense of £654,681, up from £13,002 while professional fees, public & investor relations costs increased to £514,894 from £201,977.
European Green Transition’s pretax loss totalled £2.1 million for the year, widened from £708,881.
However, the company had a cash balance of £3.7 million as of December 31, up from £87,969 one year prior.
‘2024 was a foundational year for the business, during which we achieved many significant milestones including EGT’s IPO on the London Stock Exchange, and the successful execution of our low-cost drill programme at the Olserum REE project in Sweden,’ Co-Founder & Non-Executive Chair Cathal Friel said.
Friel also noted tensions between the US and China, saying: ‘The urgent need for the establishment of a stable supply of rare earth elements in Europe is clearly evident and EGT’s Olserum REE project, which has been designated as a project of National Interest in Sweden, has the potential to be of critical strategic importance for Europe’s REE supply security.’
Going forward, Friel said: ‘As we look towards the rest of 2025 and beyond, we retain a strong cash position and remain highly focused on executing on our M&A strategy in the near term by acquiring distressed revenue generating businesses at attractive valuations.’
The company is ‘in discussions with a number of companies as we look to complete a potential deal’, he added.
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