1 February 2024
MicroSalt
Plc
("MicroSalt" or the "Company")
Admission to AIM and First
Day of Dealings
MicroSalt plc, a company
commercialising a patented technology to produce full-flavour,
low-sodium salt for food manufacturers and consumers, is pleased to
announce that its ordinary shares of £0.001625 each ("Ordinary
Shares") will be admitted to trading on the AIM market of the
London Stock Exchange plc ("Admission") and dealings in the
Ordinary Shares will commence at 8.00 a.m. today, 1 February 2024,
under the ticker SALT and ISIN number GB00BQB6FF85.
Admission highlights
· Market
capitalisation of approximately £18.5 million on
Admission
· Successful fundraise totalling approximately £3.1 million
(before expenses) at an issue price of 43 pence per Ordinary
Share
The net proceeds of the fundraise
will principally be used to support the ongoing development of the
Company and its subsidiary, MicroSalt Inc. (together the "Group"),
sales and marketing of MicroSalt's applications with existing and
potential customers, for R&D for FMCG companies product line
extensions and general working capital purposes including increased
headcount. The Board believes the fundraising will provide the
Group with the capital required to support its growth strategy and
to capitalise on its pipeline of commercial opportunities with
existing and potential customers. Furthermore, admission to AIM
will enhance MicroSalt's corporate profile.
Zeus Capital acted as Nominated
Adviser and sole Broker to the Company, and SP Angel Corporate
Finance LLP as placing sub-agent.
Rick Guiney, CEO of MicroSalt, said:
"We are delighted to announce our
successful fundraise and admission to AIM, which is an important
step in our development and provides an excellent platform for
growth. The World Health Organisation has stated ambitions to
reduce sodium intake by 30% by 2025, and MicroSalt is extremely
well placed to capitalise upon rising demand for lower sodium
products with our disruptive, proprietary product and manufacturing
process."
MicroSalt overview
MicroSalt is a major potential
disruptor in the food market. Its mission is to reduce excess
sodium consumption, a significant contributor to hypertension and
heart disease, by providing a full-flavour salt with approximately
50% less sodium than traditional salt for food manufacturers and
consumers.
The Group has developed a patent
protected and scalable manufacturing process producing a salt
crystal approximately 100 times smaller than traditional salt.
These micron sized particles mean MicroSalt has improved adhesion
to food compared with traditional salt crystals and dissolves much
faster on the tongue, thereby delivering the same sense of
saltiness with approximately half the amount of sodium.
MicroSalt is not a salt substitute,
but simply a salt containing only sodium chloride and non-GMO
maltodextrin. Unlike most low-sodium alternatives, MicroSalt does
not contain potassium chloride or any other added chemicals,
thereby eliminating the bitter aftertaste associated with existing
salt substitutes.
Demand for reduced sodium and
'clean' product labels across both B2B and B2C channels has
increased significantly due to enhanced governmental and societal
pressure for healthier products. Hence the Group's primary strategy
is to partner with brands seeking to reduce sodium content in their
foods, for both existing and new product lines.
As a proof of concept, the Group
created a consumer brand of potato crisps called SaltMe! which one
of the largest supermarket chains in the US launched into a number
of its US stores in February 2022. Further agreements with smaller
supermarket chains have resulted in current availability of SaltMe!
crisps in more than 400 stores across the US. MicroSalt is also
ideally suited for numerous other applications such as nuts,
tortillas, popcorn, bread, cereals and energy bars due to its
reduced sodium content and superior adhesion when applied directly
to products. MicroSalt's product range was extended in October 2022
with the launch of MicroSalt shakers which are now available on
Amazon in the US and UK and in 450 stores in the US.
MicroSalt has delivered its first
commercial-volume purchase order from a Fortune 500 pharmacy / food
retailer for use on an initial four lines of its own branded salted
nuts to be sold initially across an initial c.800 stores. It has
also delivered 29 metric tonnes of MicroSalt to one of the world's
largest beverage / snack good companies for use in one of its
leading crisp brand flavours. Multiple major B2B companies, both US
and multi-national, are at various stages of commercial testing and
price negotiations.
The
Board
The Board comprises two executive
directors and three independent non-executive directors. The
expertise and experience of each of the directors is set out
below:
Judith Batchelar (64) -
Non-Executive Chair
Judith Batchelar has over 35 years'
experience in the UK food industry, having previously served as a
Director of Sainsbury and Safeway. Judith is a biochemist,
nutritionist and has an Honorary Doctorate in Agriculture from
Harper Adams University. As a Fellow of the Institute of Food
Science and Technology and the President of the British Nutrition
Foundation, she is highly respected in the sector. She is also a
Fellow of the Royal Society of Arts, Manufacturers and Commerce. In
2015, Judith was awarded an OBE in 2015 for services to farming and
the food industry. She is also a Director of Monaghan Mushrooms in
Ireland.
Rick Guiney
(68) - Chief
Executive Officer
Rick Guiney became MicroSalt's Chief
Executive Officer in December 2021 and is a veteran of the food
industry with a 35-year track record including leading positions at
Procter & Gamble, Anheuser-Busch and Quorn Foods. He previously
founded a snacks company, Classic Snacks Inc., where he was Chief
Executive Officer for 33 years. During his tenure he grew it into a
leading national snack company in the US which was included on the
Inc.500 Fastest Growing Company List.
Konrad Dabrowski (40) - Chief
Financial Officer
Konrad Dabrowski is a Qualified
Chartered Accountant after having spent 5 years with Deloitte US.
Konrad previously worked as Finance Director at Lucyd and was
Global Accounting Manager for Restaurants Brands International,
working alongside businesses such as Burger King, Tim Hortons and
Popeyes. Currently Konrad serves as Chief Financial Officer of
Innovative Eyewear and AIM listed Tekcapital PLC however he spends
the majority of his time with the Group. Post Admission he has
contracted to spend at least 25 hours a week with the
Group.
Gary Urmston (56) -
Non-Executive Director
Gary Urmston has more than 17 years
in the food industry, notably as Chief Financial Officer of Produce
Investments Ltd and William Jackson Food Group Ltd. He has
governance and internal control experience, through his roles
leading the finance functions, as Head of Internal Audit for UK
manufacturing company, Northern Foods plc, as well as through his
audit and assurance experience with KPMG. He also has extensive
M&A experience having led a number of transactions during his
time in industry.
Dan Emery (67) -
Non-Executive Director
Dan Emery has served as a
non-executive Director on the board of MicroSalt since December
2021 and has longstanding experience in the food sector. As VP of
Sales & Marketing at Pilgrim's, a leading global provider of
high-quality food products, where he grew sales from US$970 million
to almost US$9 billion. He has also previously served as Chief
Executive Officer and President of Meaningful Solutions, a
consulting firm specialising in the agro-food sector and of
GreenStar Cooperative, focusing on gourmet food distribution in the
New York area.
The Company's Admission Document can
be found on its website at www.microsalt.co
For more information, please
visit www.microsaltinc.co,
follow on twitter @microSaltPLC or contact:
MicroSalt plc
|
Via Flagstaff PR
|
Rick Guiney, CEO
|
|
|
|
Zeus (Nominated Adviser and
Broker)
|
+44 (0)20 3829 5000
|
David Foreman / James Edis
(Investment Banking)
|
|
Dom King (Corporate Broking), Rupert
Woolfenden (Sales)
|
|
|
|
Flagstaff PR (Financial
PR/IR)
|
+44 (0)20 7129 1474
|
Tim Thompson / Alison Allfrey / Anna
Probert
microsalt@flagstaffcomms.com
|
|
Notes to Editors
MicroSalt® produces a patented
full-flavour, low-sodium salt for food manufacturers and
consumers.
MicroSalt is a major potential
disruptor in the food market, thanks to its micron sized particles
which deliver the same sense of saltiness to a wide range of foods
but with approximately 50% less sodium. Excess sodium consumption
is a significant contributor to cardiovascular disease and
MicroSalt's solution meets the rising demand for healthier
alternatives to traditional salt. The WHO
has set a target for reducing global sodium intake by 30% by 2025,
which it estimates will save 7 million lives by 2030.
Each year, cardiovascular disease
costs the UK £19 billion - if the average salt intake was reduced
by one gram per day, it has been estimated that 4,147 lives and
£288 million would be saved each year in the UK. As a nation, the
UK consumes 183 million kilograms of salt each year, and 70 per
cent. of the typical person's sodium intake is hidden in processed
foods.
Operational since 2018, MicroSalt
uses a patent-protected technology which helps create high barriers
to entry within the reduced-sodium salt market. The group has a US
patent and 14 patent applications pending in other jurisdictions
globally.
The Directors believe that MicroSalt
is well positioned to capture growth in the low sodium market,
which is expected to grow exponentially, and that there is also
scope to enter the larger salt market.
MicroSalt has a three-pronged
marketing strategy, targeting large B2B food manufacturers, the B2C
market and e-commerce customers. Microsalt's all natural,
low-sodium solution is well positioned to take advantage of the
fast-growing market for a healthier alternative to traditional
salt.
ENDS