- Perth-based RLF AgTech will soon list on the ASX, with the prospectus due for release shortly
- The Market Herald, together with Discovery Capital, held a special event to introduce RLF AgTech to stock brokers and investors in the Perth suburb of Nedlands last week
- Through its IPO, RLF AgTech’s determined to capture a larger slice of the $259 billion global fertiliser market
- The company’s looking to raise up to $10 million with 20c shares in its IPO
Perth-based RLF AgTech will soon list on the ASX, with the prospectus due for release shortly.
The Market Herald, together with Discovery Capital, held a special event to introduce RLF AgTech to stock brokers and investors in the Perth suburb of Nedlands last week.
RLF AgTech’s been making in-roads into global agriculture for many years, but found its feet about five years ago when it made breakthroughs in crop nutrition technologies which triggered an impressive growth trajectory.
The company’s in-house scientists, agronomists and researchers have developed products to improve the health benefits of crops for consumers, boost the return-on-investment for farmers and produce crops in a more sustainable, carbon-friendly way.
Through its IPO, RLF AgTech’s determined to capture a larger slice of the $259 billion global fertiliser market.
RLF AgTech’s MD & CEO Ken Hancock said the products had already been used across millions of hectares of broadacre, pastoral and horticultural land.
There are three product categories: Seed Primers; Soil and Fertigation and Foliar.
“Our Plant Proton Delivery Technology allows our product to bypass the soil and go straight to the plant seed and leaf,” he said.
“The formula works at a cellular level and improves the quality of crops, while reducing waste and over-application.
“Because the plant then grows stronger and has a larger root system, RLF AgTech products can help reduce and reverse soil degradation.
“Not only that, our independent trials in Australia have shown about 10 per cent yield increase, so for every 100,000ha of grain crops treated with our products, emissions reductions would equate to the annual CO2 emissions from 150,000 cars.
“Farmers are likely to benefit from the carbon market, that’s why we have set up our subsidiary RLF Carbon”
Mr Hancock said the product could be used as part of farmers’ normal application routines and trials around the world had shown yield increase of up to 30 per cent above traditional fertilisers and a typical ROI for farmers of eight to 10 times.
“Our crop nutrition solutions have been tried and tested in more than 1000 independent trials in Australia, China, Mongolia, USA, Canada, Sri Lanka, Bangladesh, Turkey, Vietnam, Cambodia, Thailand, and Tunisia and the results were that yield increased by up to 30 per cent above traditional fertilisers,” he said.
The company’s looking to raise up to $10 million with 20c shares in its IPO. The money will be used to increase its footprint in Asia.
“We are already in China and have a 12000m2 manufacturing plant there, we are already selling into China and some south-east Asian countries,” Mr Hancock said. “We have a facility in Welshpool here in Perth that is servicing the growing Australian market and we have the potential to triple our production with these existing facilities.
“We seek to covert 20 per cent of farmers’ current spend on fertilisers into our more efficient technologies and if we can achieve this, the potential is clearly very large.
“In 2020 our revenue was about $10M a year – in the five years before COVID we were growing on a compound annual growth rate of around 60 per cent per annum – so there’s lots of upside.
“We have over 400 distribution partners now, we want to significantly grow our sales and marketing teams throughout South-East Asia and in North America.
“We also want to develop that RLF Carbon initiative, AgZero.
“We really have something that’s unique and can make a real difference in feeding the world’s burgeoning population.”