CyanConnode wants to raise £8.6m, consolidate shares
Cyanconnode Holdings
8.30p
16:55 24/04/24
Narrowband radio mesh networks specialist CyanConnode announced a proposed fundraising of up to £8.6m on Friday, by way of a conditional placing and subscription of up to 30,852,488 ordinary shares at a price of 28p per share, with both existing and new institutional investors.
FTSE AIM All-Share
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16:50 24/04/24
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16:30 11/04/24
The AIM-traded company said the issue price - as adjusted for the share consolidation - represented a discount of 15.2% to the closing price on 14 September.
It said the company had received advance assurance from HMRC that the fundraising shares to be issued pursuant to the placing and subscription would rank as 'eligible shares' for the purposes of EIS, and would be capable of being a 'qualifying holding' for the purposes of investment by VCTs.
“The net proceeds of the fundraising will be used to fund future growth by investing in staff, research and development and working capital to execute on the company's order book, pipeline and growth plan,” the board said in its statement.
It confirmed the proposed share consolidation would see shareholders exchange every 200 existing ordinary shares of their holding for one consolidated share.
“The fundraising and share consolidation are conditional, inter alia, upon shareholder approval at a general meeting of the company,” the board added, confirming the meeting would be held on 2 October.