- Measurement solutions tech company ikeGPS (IKE) has entered a trading halt as it intends to raise nearly NZ$20 million (around A$18.41 million) to support its U.S. growth
- The company will offer an institutional placement and entitlement offer to investors for NZ$0.68 cents (roughly A$0.635) for every new share
- Company shares will be put on hold until Thursday, July 30 or when the company announces the outcome of the entitlement offer
- ikeGPS last traded for 67 cents per share on July 27
Measurement solutions tech company ikeGPS (IKE) has entered a trading halt ahead of a NZ$19.7 million (approximately A$18.4 million) capital raise.
The company will offer an institutional placement and entitlement offer to investors for NZ$0.68 cents (roughly A$0.635) for every new share.
The funds raised will be used to support ikeGPS’s growth in the United States of America.
Placement
The placement will be offered to eligible institutional investors. Under the offer, the company will issue over 14 million shares, which represents around 14 per cent of ikeGPS’s existing capital.
The company is aiming to raise approximately NZ$9.8 million (around A$9.16 million).
Entitlement offer
In addition, existing shareholders will be given an option to purchase one share for every seven they currently hold. Through the offer, which involves an institutional and retail component, the company is aiming to raise a further NZ$9.9 million (roughly A$9.25 million).
ikeGPS Directors who are eligible have opted to participate in the entitlement offer.
CEO Glenn Milnes is pleased to offer both existing and new investors to participate in the capital raise.
“The funds raised will enable IKE to increase capacity to service new and targeted IKE customers, some of whom are the largest communications and electric utility infrastructure companies operating in North America,” he said.
New shares are expected to be allowed on Wednesday, August 5.
ikeGPS shares will be put on hold until Thursday, July 30 or when the company announces the outcome of the entitlement offer.
Company shares last traded for 67 cents per share on July 27.