- Technology stock ikeGPS (IKE) successfully completes a fully underwritten share placement and raises $18.3 million
- Roughly 19.3 million new fully paid ordinary shares were issued to new and existing investors at 95 cents
- IKE will undertake a share purchase plan (SPP) to raise a further $3 million, with eligible shareholders able to subscribe for shares worth up to a total of $14,300
- The company will use the money from both the placement and SPP to grow its sales pipeline and provide capital for potential acquisitions
- Shares in IKE are down 4.5 per cent on the market and are trading at $1.06 at 2:48 pm AEST
Technology stock ikeGPS (IKE) has successfully completed a fully underwritten share placement and raised $18.3 million.
The company entered a trading halt on August 9, stating it would be undertaking a $21.3 million capital raising.
Roughly 19.3 million new fully paid ordinary shares were issued to new and existing investors at 95 cents.
This price represents a 14.4 per cent discount to IKE’s close of $1.11 on August 6 and a 13 per cent discount to the five-day volume-weighted average price.
Shares are expected to settle on August 18, and be allocated and begin trading on the ASX on August 18.
IKE will now undertake a share purchase plan (SPP) to raise the remaining $3 million.
Eligible shareholders will be able to subscribe for shares priced at 95 cents and worth a total of up to $14,300.
If the plan receives strong support, IKE will scale back applications at its discretion.
The SPP is expected to open on August 16 and close on August 26, with shares to settle on September 2.
IKE will use the money from both the placement and SPP to grow its sales pipeline and provide capital for potential acquisitions.
CEO Glenn Milnes is pleased with the support received for the placement.
“We are extremely pleased by the level of support we have received from our loyal shareholders as well as new institutional funds,” Mr Milnes said.
“This support places us in a strong position to execute against our business plan and our goal to be the standard for the collection, analysis and management of distribution assets for electric utilities, communications groups and engineering service companies in North America.”
Shares in IKE were down 4.5 per cent on the market, trading at $1.06 at 2:48 pm AEST.