(Alliance News) - Xeros Technology Group PLC, a developer and provider of water saving and filtration products, said its previously announced share open offer just saw an 11% uptake from investors, resulting in a much lower than expected capital raise.
In October, the company launched an open offer to raise up to GBP2 million through the issue of up to 199.9 million shares at 1 pence per share. The open offer was part of a wider GBP7 million fund raising, which included a placing of 505.0 million shares at 1p each.
Xeros hoped the GBP7 million total fund raise would finance the firm until the end of 2020.
The share open offer closed for acceptances on Monday and the company received valid acceptances in respect of just 21.7 million shares, or 11% of open offer shares, from shareholders. Therefore, Xeros Technology raised around GBP216,900 under the offer compared with the expected GBP2 million.
Xeros Technology shares were trading 4.9% lower at 0.89p each on Monday afternoon.
By Tapan Panchal; tapanpanchal@alliancenews.com
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Xeros Tech (XSG)