Xtek Ltd opens pro-rata non-waivable rights offer to raise up to AU $ 5 million
Eligible shareholders have the option to participate in the offer and purchase new fully paid ordinary shares at the issue price of AU $ 0.26 each and at the rate of 1 new share for every 3.7 existing shares held.
() today opened a pro-rata non-waivable rights offering to all shareholders of qualifying securities with the aim of raising up to AU $ 5 million.
The offer of one new share for every 3.7 existing shares held is at an issue price of AU $ 0.26 per share.
It is partially subscribed up to a maximum of AU $ 3 million by MST Financial Services Pty Ltd as underwriter and non-executive chairman Uwe Boettcher and principal shareholder Altor Capital Pty Ltd as underwriters.
The fundraising campaign closely follows an institutional placement taken out earlier this month that grossed A $ 2.7 million.
Use of funds
XTEK, which provides high-quality products to provide tailor-made solutions to the government, law enforcement, military, space and commerce sectors, plans to use the funds in four areas:
- UAV – Development of Australia-made VTOL small unmanned aerial vehicles for upcoming sales opportunities with the Australian Defense Force;
- Software – Development of the next XTatlasMT actionable intelligence software applications;
- Ballistics – Expand the line of hard armor plates and helmets manufactured using XTEK’s patented XTclave process; and
- Working Capital – Providing the working capital necessary to grow the business of the business and meet its outstanding financial obligations for plant inventory, business costs and transaction costs.
The pro-rata non-waiverable rights offer is made to all holders of eligible securities as entered in the Securities Register at 7:00 p.m. (Sydney time) on Thursday, October 7, 2021.
It will be pro-rated by one new security for every 3.7 securities held and is open to holders of eligible securities with a registered address in Australia and / or New Zealand.
MST Financial Services Pty Ltd acted as underwriter and lead manager of the offering.
The offer will be partially subscribed by two of the main holders of XTEK securities, Altor Capital Management Pty Ltd and UDB Pty Ltd, a company controlled by the chairman of XTEK, Uwe Boettcher.
All new shares issued under the offer will be issued on the same terms and rank as the existing XTEK shares.