BACCHUS CAPITAL VENTURES

As an independent investment and merchant banking platform, Bacchus Capital Ventures has the creativity and flexibility to engage clients and counterparties with a view to identifying value accretive opportunities, creating companies, vehicles or scenarios in order to leverage situations to the benefit of all parties. The combination of deep sector experience, financial expertise and long-term relationships provides us with a sound platform from which to invest directly into and alongside our clients, and into special situations for mutual benefit.

In 2017 Bacchus Capital Ventures identified uranium as a commodity yet to benefit from the cyclical recovery in prices, and that while the near-term investment thesis was compelling, there are few opportunities in the UK market for investors to gain exposure to the commodity

As a result, Bacchus Capital Ventures founded, established and incorporated Yellow Cake plc with the intent of creating a vehicle that provided investors direct exposure to the price of physical uranium U3O8 - yellow cake. On behalf of Yellow Cake, Bacchus Capital Ventures: 

  • Negotiated a $1.1 billion uranium supply contract with Kazatomprom, the world’s largest and lowest cost uranium producer

  • Secured a multi-year storage contract in Canada at highly competitive rates

  • Created 308 Services Limited, a private company with uranium expertise, used to fund the pre-IPO expenses of Yellow Cake, and provide ongoing services to Yellow Cake under a long-term contract

  • Formed a high quality board and appointed a highly experienced Chairman, CEO and CFO 

  • Originated a substantial component of the IPO investment book including cornerstone investors from Canada, Russia, Europe and Australia

  • Acted as IPO Adviser on Yellow Cake’s successful US$200 million IPO, which won Mines & Money’s 2018 Deal of the Year as one of the largest mining focused IPOs of the last five years

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In 2017, Lepidico Ltd., an ASX listed battery metals technology company, was the subject of a hostile take over attempt by rival Lithium Australia

Bacchus Capital Advisers was engaged by Lepidico as Tactical and Defence Adviser, successfully defending its client and forcing the aggressor to back down four months into its take over attempt:

 

Bacchus Capital Advisers team members based in Australia and UK 

Drafted and advised on key strategy, documentation and communication messages to shareholders, market and ASIC 

Managed and co-ordinated legal and communication teams

The take over defence created substantial value for Lepidico shareholders: 

Successfully completed a rights offering during the take over period which was priced at a premium to the bidder’s implied offer price

During the defence, Lepidico’s share price gained 33% while the aggressor’s share price declined by 52%

Following the successful defence, Bacchus Capital Advisers remained active as the key ongoing relationship Financial Adviser:

To date, Bacchus Capital Advisers has managed two rights offerings for Lepidico, during one of which we introduced Galaxy Resources, a major Australian listed lithium producer, as an investor, with Galaxy taking up a 12% strategic holding in Lepidico, occasioning a substantial valuation rerating

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©2019 by Bacchus Capital Advisers Authorised and regulated by the Financial Conduct Authority