KTG Energie AG's successful IPO will finance the company's growth

KTG Energie AG's successful IPO will finance the company's growth

- 1.5 million shares subscribed at fixed price of EUR 13.80

- Capital issue for growth financing fully placed

- Trading at Frankfurt Stock Exchange is expected to start on 29 June 2012

Hamburg, 27 June 2012 - KTG Energie AG (ISIN: DE000A0HNG53), Germany's third largest producer of renewable energy from biogas, has fully placed the 1,000,000 shares from a capital increase during the subscription period at a fixed price of EUR 13.80 per share. This will enable the company to expand its biogas production capacity as planned. Besides the capital increase, 500,000 shares held by the parent company, KTG Agrar AG, have been placed. This brings the gross proceeds of the first German IPO of the year 2012 to approximately EUR 20.7 million. Subscriptions by private investors have been fully assigned. The market capitalisation will total EUR 82.80 million. Holding 75 percent of the shares, KTG Agrar will remain the majority shareholder. The shares will be presumably admitted to trading in the Entry Standard of the Frankfurt Stock Exchange on 29 June 2012. Says Dr. Thomas Berger, CEO of KTG Energie: 'We would like to thank all investors for placing their trust in us and subscribing our shares in this challenging capital market environment. In response to investors' requests, we have given them the opportunity to invest in a company specialising in the production of renewable energy and generating predictable earnings.'

Ever since KTG Energie took the first biogas plant into service in 2006, the company has grown steadily. Today, KTG Energie has plants operating at full load with a total output of 22.4 megawatts (MW). Many more plants are at the start-up stage or under construction, which means that the 30 MW mark will clearly be exceeded in 2012. 'The proceeds will enable us to continue our growth strategy as planned and to distribute an attractive dividend starting 2013,' Dr. Thomas Berger added.

KTG Energie operates in an attractive market environment, as biogas can meet both baseload and peak load requirements it is an important element in the move towards green energy. Moreover, the business model of KTG Energie is very well plannable. On the one hand, the German Renewable Energy Sources Act (EEG) guarantees a fixed feed-in tariff for the electricity generated for a period of 20 years. On the other hand, KTG Energie benefits from the integrated concept of KTG Agrar, which is one of the leading agricultural companies in Europe and will remain the majority shareholder also after the IPO. This means that the company's feedstock supply is secured in the long term.

ABOUT KTG ENERGIE AG

Headquartered in Hamburg, KTG Energie AG (ISIN: DE000A0HNG53) specialises in the production of green energy from renewable resources. The company has operated biogas plants in Germany since 2006, covering the entire value chain from planning to construction and operation. At present the company has biogas plants with a production capacity of 22.4 megawatts running under full load; a number of other plants are either in the start-up stage or under construction. This total capacity is sufficient to supply close to a quarter million people with clean green energy. Production capacity will be expanded in the coming years. As a subsidiary of agricultural producer KTG Agrar AG, the company benefits from long term access to renewable feedstock supplies, in particular intercrops, grass and hay. KTG Energie currently employs approximately 40 people and reported 2011 sales of EUR 21.5 million as well as an operating profit (EBIT) of approximately EUR 4 million.

ABOUT KTG AGRAR

With cultivable land of around 35,000 hectares, KTG Agrar AG (ISIN: DE000A0DN1J4) is one of the leading producers of agricultural commodities in Europe. As an integrated supplier, the company produces agricultural commodities and renewable energy and food. The Hamburg-based company's core area of expertise is the organic and traditional cultivation of market products such as cereals, maize and rapeseed. For organic market products KTG Agrar is the European market leader. The company mainly produces in Germany but has also operated production in the EU member state of Lithuania since 2005. The company's third mainstay is the production of bio-energy. At present, KTG Agrar operates biogas plants with a total capacity of around 30 megawatts. As a result of the takeover of Frenzel Tiefkühlkost in 2011, KTG has expanded the value chain by the production of food. In the year 2011, KTG achieved a total output of EUR 112,1 million and EBIT of EUR 15,1 million. Since November 2007 the company is listed on the Frankfurt Stock Exchange and has currently about 600 employees. Further information can be found at www.ktg-agrar.de.

CONTACT

Investor Relations / Presse
Fabian Lorenz
IR.on AG
Phone: +49 221 914097-6
E-mail: fabian.lorenz@ir-on.com

DISCLAIMER

This press release does not constitute an offer to sell securities in the United States of America, Canada, Australia, Japan or other jurisdictions in which an offer is subject to statutory restrictions. The securities mentioned in this press release may not be offered or sold in the United States or to, or for the account or benefit of, US persons (as such term is defined in Regulation S under the Securities Act of 1933 as amended (the 'Securities Act')) unless they are registered under the Securities Act or exempt from registration. Subject to certain exceptions according to the Securities Act the securities mentioned in this press release may not be offered or sold in Australia, Canada or Japan or to, or for the account or benefit of, Australian, Canadian or Japanese residents. A registration of the offer or the selling of the securities mentioned in this press release according to the respective legal provisions in Canada, Australia and Japan will not take place. It is not intended to make a public offer of securities in the United States.This information solely serves marketing purposes and does not constitute a securities prospectus. Prospective investors interested in the securities mentioned in this press release should base their investment decision solely on the basis of information provided by the securities prospectus regarding the offer of these securities which has been approved by the German Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht, BaFin) and published by KTG Energie AG. Interested investors may obtain a free copy of the securities prospectus directly from KTG Energie AG (Ferdinandstr. 12, 20095 Hamburg, Germany; phone: +49-(0)40/76755-372, fax: +49-(0)40/76755-374) or at www.ktg-energie.de/wertpapierprospekt. All statements of opinion and/or belief contained in this press release and all views expressed and all projections, forecasts or statements relating to expectations regarding future events or the possible future performance of KTG Energie AG or any corporation affiliated with KTG Energie AG only represent the own assessments and interpretation by KTG Energie AG of information available to it as of the date of this document. No representation is made or assurance given that such statements, views, projections or forecasts are correct or that they will be achieved as described. Prospective investors must determine for themselves what reliance (if any) they should place on such statements, views, projections or forecasts and no responsibility is accepted by KTG Energie AG or any of their respective affiliates or any of their advisors in respect thereof. Thus, it is important, that prospective investors rely on their own examination of the legal, tax, financial and other consequences of an investment in KTG Energie AG, including the merits of investing and the risks involved. Prospective investors must not treat the contents of this document as advice relating to legal, tax or investment matters and are advised to consult their own professional advisors concerning the acquisition, holding or disposal of any investment in KTG Energie AG.