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Archer Materials (ASX:AXE) raises $15m for computing chip

Materials
ASX:AXE      MCAP $123.6M
04 October 2021 09:20 (AEST)

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Archer Materials (AXE) has received firm commitments to raise $15 million for developing its CQ quantum computing chip.

The company will issue 10.3 million new shares at $1.45 per share in a placement to investors. This share price represents a 16.4 per cent discount to the last closing price.

Funds from the raise will be used to develop the CQ quantum computing chip and lab-on-a-chip biochip technologies. It will also be spent to pursue further technology and commercial development in the US.

Additionally, Archer is also undertaking a $5 million share purchase plan (SPP).

Under the SPP, eligible shareholders will be able to purchase up to $30,000 worth of shares at the same price as the placement.

Executive Chairman Greg English is pleased with the support for the placement.

“We thank our existing shareholders for their ongoing support and welcome a number of new, high-quality institutional investors to our register, supporting our journey towards developing the next generation of semiconductors that could spur breakthrough solutions like quantum computing,” Mr English said.

Archer is down 9.80 per cent and is trading at $1.57 per share at 12:10 AEDT.

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