- Authentication and tracing solutions company Dotz Nano (DTZ) has received commitments to raise $7.07 million via a placement
- Money from the placement will be used to fulfil four of its existing Personal Protective Equipment authentication contracts, establish distribution networks and for sales and marketing support.
- Over 28 million shares will be issued at 25 cents, representing a 3.8 per cent discount to the 30-day volume-weighted average price.
- The company's biggest shareholder, Southern Israel Bridge Fund (SIBF), provided a commitment of $750,000 and directors chipped in $150,000 – subject to shareholder approval at an extraordinary general meeting
- Shares in Dotz Nano closed 3.45 per cent lower, priced at 28 cents
Authentication and tracing solutions company Dotz Nano (DTZ) has received commitments from sophisticated and institutional investors to raise $7.07 million via a placement.
The money will allow the company to fulfil its four existing PPE authentication contracts and establish new distribution networks for its products. Funds will also be used for sales and marketing activities and proof of concept costs for new business including the commercialisation of Dotz’s surface sanitation and onsite virus detection.
The strongly supported placement will issue over 28 million shares at a price of 25 cents, representing a 3.8 per cent discount to the 30-day volume weighted average price.
The company's biggest shareholder, Southern Israel Bridge Fund, has committed $750,000 and directors will chip in $150,000 — subject to shareholder approval at a yet-to-be-announced extraordinary general meeting.
Dotz Chairman and interim CEO Bernie Brookes said the boost in funds will help push the company forward.
"We are now well-funded to increase production capacity to meet our obligations under existing long-term contracts, as well as accelerate our next growth phase within the broader anti-counterfeiting and authentication sectors,” he said.
“Our recent sales success in PPE authentication verifies the value of our end-to-end authentication technology in protecting the reputation of high-quality products throughout global supply chains," the interim CEO continued.
Shares in Dotz Nano closed 3.45 per cent lower, priced at 28 cents.