LONDON (Alliance News) - Defenx PLC on Monday said it has secured EUR300,000 following the final drawdown of an unsecured loan of EUR950,000 provided by its majority shareholder BV Tech SpA.
The cyber-security software company said it now has sufficient funds through to the end of April.
The loan is convertible into new Defenx shares at a price of 8 pence each. The company said it will issue 3.3 million shares to BV Tech, resulting in its interest in Defenx of 26.0 million shares, about 67.1%.
Defenx shares were trading 1.7% lower on Monday at 5.90 pence each.
Defenx also confirmed that it is in advanced discussions with BV Tech with regards to the provision of specific distribution rights to BV Tech for Defenx's products. In return, Defenx expects BV Tech to pay both a fixed fee and monthly fees.
In addition, the company is considering the provision of certain software services by BV Tech to Defenx in respect of its range of new and existing products.
However, there can be no guarantee that an agreement will be reached between the parties - in which case Defenx will need to consider other forms of funding.