(Alliance News) - Amiad Water Systems Ltd on Thursday said it secured GBP17.6 million through a share subscription by Israeli private equity firm and significant shareholder FIMI Opportunity Funds.
Under the agreement, FIMI will subscribe for up to 7.7 million Amiad subscription shares at GBP2.30 per share. The water treatment and filtration solutions provider also intends to give all shareholders an opportunity to participate in the capital raising via a open offer for up to 856,556 shares at the same GBP2.30 per share price.
Shares in Israel-based Amiad were untraded at 240.00 pence each on Thursday afternoon in London.
FIMI separately also has agreed to buy 1.1 million Amiad shares from another Amiad shareholder HaChoshlim. Following completion of the share subscription and HaChoshlim agreement, FIMI will own between 39.56% to 42.38% stake in Amiad, depending upon results of the share open offer.
Amiad expects the capital raise to help it in delivering its five-year strategic plan including funding organic growth, scale up production and accessing new products and markets.
The company additionally has made several board changes due to its share subscription agreement with FIMI.
Amiad has appointed FIMI founder and Chief Executive Officer Ishay Davidi and senior FIMI partner Lilach Asher Topilsky to its board. Ran Shahor, currently president and co-founder of HolistiCyber, will also join the company's board as an independent director.
Jenny Derfler, Dori Ivzori and Zehava Simon will resign from their positions as directors of the company.
By Tapan Panchal; tapanpanchal@alliancenews.com
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