Founder of ADOB Adam Nawrocki has become a shareholder in Cinis Fertilizer, the potassium sulphate (SOP) producer in Örnsköldsvik, Sweden.

Cinis Fertilizer started production in May 2024 at its 100,000 tonnes per year plant in northern Sweden. The SOP is marketed as environmentally friendly.

“However, the start-up and ramp-up of the company’s production facility in Örnsköldsvik has taken longer than expected,” the company said in its statement. “To strengthen the company’s liquidity during the continued ramp-up of the production facility until it reaches profitability, Cinis has resolved to carry out a capital raise. The capital raise consists of directed share issues to Adam Nawrocki, founder of ADOB Fertilizers, a convertible loan to Van Iperen International and a rights issue offered to existing shareholders.”

Van Iperen International is the off-take customer for the plant.

“Through the capital raising, Cinis will gain an owner with international industry expertise, Adam Nawrocki, who has extensive experience in building and running successful production and sales of water-soluble fertilizers. In addition, Cinis’ partner and customer Van Iperen International is participating in a convertible loan.”

Jakob Liedberg, CEO of Cinis Fertilizer said: “We are grateful for the support from Van Iperen International and Adam Nawrocki. Their extensive industry knowledge and vast experience in the production and sale of specialty fertilizers will be a great asset to Cinis in our continued development. Their support is a clear indication that there is a promising future for SOP produced with fossil free electricity.”

The capital raised consists of directed share issues to Adam Nawrocki of SEK 16.2 million [USD 1.7 million at today’s ex-rate] in two tranches. A directed convertible note issue to Van Iperen International of SEK 10.8 million [USD 1.1 million], and a rights issue of up to 145 million shares at SEK 1 per share, of which SEK 70 million are guaranteed by bond holders.

The company concluded its statement by saying it has a clear plan on how to ramp up production over the next couple of months. “During April and May 2025, a number of measures to improve plant capacity will be implemented together with the process and technology supplier with the aim of reaching full production capacity in 2025. In parallel, the company continues to work with initiatives that improve profitability, such as optimization of logistics and measures to reduce cost of input materials, MOP and sodium sulfate. This, together with production increases, is expected to lead to stable profitability.”

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