Global semiconductor developer BluGlass Limited has secured $4.3 million in commitments from institutional and sophisticated investors through a well-supported share placement at an issue price of $0.037 per share.
The ASX-listed company has also launched a Share Purchase Plan (SPP) Offer to allow eligible shareholders in Australia and New Zealand to purchase up to $100,000 worth of shares on the same terms.
Additionally, the capital will support the acquisition of additional fabrication equipment, bolster working capital, and facilitate the development of next-generation products, enhancing market competitiveness and driving sales.
James Walker, chair of BluGlass, expressed confidence in the company’s visible laser technology, experienced management, and robust growth trajectory, citing the continued support from institutional and sophisticated investors as a testament to BluGlass’ promising outlook.
CEO Jim Haden highlighted BluGlass’ significant commercialisation milestones achieved over the past year, including the launch of laser products, vertical integration of the manufacturing supply chain, expanded customer engagement, and securing the largest-ever revenue contract.
“This funding supports scaling our operations as we grow project revenues, enabling us to invest in additional equipment and capabilities to accelerate laser production and delivery to meet customer demand,” Haden stressed.
Haden further emphasised strategic investments in the development of novel, next-generation products, exemplified by a recent subcontract with the US Department of Defense for the development of Distributed Feedback (DFB) lasers, underscoring the increasing demand for advanced, high-performance lasers.
Meanwhile, BluGlass has initiated a Placement offering 116,216,216 new fully paid ordinary shares at an issue price of $0.037, reflecting a discount of 19.6 per cent to the last closing share price on 8 February 2024, and 24.3 per cent to the 15-day volume weighted average market price.
With this Placement, shareholders will receive one free attaching listed option for each new share, exercisable at $0.046 until 28 February 2025.
Exercising these options will grant shareholders one fully paid BLG share along with an additional Piggyback Option, exercisable at $0.06 until 28 February 2027, subject to shareholder approval at an Extraordinary General Meeting scheduled for 4 April 2024.
In conjunction with the Placement, BluGlass is also conducting an SPP Offer to raise up to an additional $9.0 million before costs, under the same terms as the Placement, exclusively available to shareholders residing in Australia or New Zealand as of 7:00 PM on 9 February 2024 (Eligible Shareholders).
Each Eligible Shareholder has the opportunity to apply for up to $100,000 worth of new fully paid ordinary shares at an issue price of $0.037.