LONDON (Alliance News) - RedT Energy PLC on Wednesday said it has conditionally raised GBP3.5 million before expenses through a share placement at a discount, sending its shares lower in early trade.
RedT said it has issued 51.9 million shares at 6.75 pence per share and will hold a meeting to approve the placing on February 9. Shares in RedT were down 19% to 8.25 pence early Wednesday, one of the worst performers in the AIM All-Share.
The company said it intends to use the proceeds from the fundraising for working capital purposes. It said it had cash reserves of EUR2.9 million on December 31.
"Today's placing provides us with a robust financial position from which to focus on the rolling out of our initial 'market seeding' units and transition to full commercial sales," said Scott McGregor, RedT's chief executive.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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