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- Alcidion Group (ALC) has successfully completed its share purchase plan after receiving $27.5 million more in applications than its target of $2.5 million
- The SPP closed on Friday 30 April, receiving over 1900 applications totalling approximately $30 million
- Due to the oversubscription, the company increased the SPP’s offer size to $3 million, resulting in the issue of around 9.37 million new fully paid ordinary shares at an issue price of $0.32 per share
- The combined funds raised under the SPP and a previous placement total $18.4 million
- Alcidion shares are down 1.35 per cent, trading at 36.5 cents
Alcidion Group (ALC) has successfully completed its share purchase plan after receiving $27.5 million more in applications than its target of $2.5 million.
The share purchase plan (SPP) provided eligible shareholders the opportunity to participate in the capital raising, following the successful completion of an institutional placement in mid-April.
The SPP closed on Friday, April 30, receiving strong support from shareholders with over 1900 applications totalling approximately $30 million, well in excess of the company’s target of $2.5 million.
Due to the oversubscription, the company increased the SPP’s offer size to $3 million, which will result in the issue of around 9.37 million new fully paid ordinary shares under the SPP at $0.32 per share.
In accordance with the terms of the SPP, Alcidion will scale back applications with most applications receiving a minimum basic entitlement of 3125 SPP shares worth $1000, with any remaining SPP shares being allocated on a pro rata basis.
The company says excess application funds resulting from the scale back will be returned to applicants as soon as possible. It is expected that the new shares will be issued and allotted on Tuesday 11 May 2021.
“The company would like to thank all shareholders who participated in the share purchase plan and the placement for their continued support,” sid Alcidion CEO, Kate Quirke.
“We acknowledge that shareholders who subscribed may be disappointed by the scale back. Ultimately, balancing the strong SPP participation with the foreseeable capital needs of the business is in the best interests of all shareholders.”
The combined funds raised under the placement and the SPP total $18.4 million.
Alcidion shares are down 1.35 per cent, trading at 36.5 cents at 1:35 pm AEST.
