DroneShield Ltd has announced the successful completion of its Share Purchase Plan (SPP), which follows the AUD10.9 million Placement, completed on 6 February. “The SPP generated significant support from DroneShield’s existing shareholders and substantially exceeded the USD3 million the Company targeted via the SPP,” said a company press release. “DroneShield received SPP applications of USD29.4 million at an issue price of USD0.30 per Share.
“Given the strong support shown by shareholders, the Board exercised its discretion under terms of the SPP and has determined not to scale back applications, in recognition of the long-term support of its investors and to maximise growth opportunities. The funds will be used to accelerate DroneShield’s growth through a faster scale-up of inventory for near-term sales, growth of key parts of the team, and general working capital.
DroneShield’s total funds raised under the Placement and SPP are AUD40.3 million (before costs). Following completion, the Company has a robust balance sheet to accelerate growth with cash of approximately USD50 million and no debt.
Oleg Vornik, DroneShield’s CEO, said: “We are pleased to have received outstanding shareholder support for both the Placement and SPP. The funds will allow us to take advantage of the highly favourable environment for defence and specifically customer demand for counterdrone solutions as witnessed by the Ukraine conflict, as we target 2023 to be a transformative year for DroneShield.”
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