RE: Results7 Aug 2021 16:46
Placing RNS doesn't indicate any shortfall of funds coming in? It does list long lead items, strong growth in contracts going forwards and the need to forward pay for chips from new suppliers due to the worldwide shortage.
Background to and reasons for the
Fundraising
On 7 April 2021, the Company provided a trading update for the CyanConnode group for the year ended 31 March 2021 (FY21). This update confirmed that deployments had significantly increased and that record annual revenues of circa 2.5 times the previous financial period had been achieved. The key contributor to such growth was the shipment of 481,000 modules to new and existing customers in India, Thailand and the Nordics.
Whilst the Covid-19 pandemic has brought significant challenges, the CyanConnode group continues to make good progress against projects. Despite seeing a worldwide shortage of semiconductors, CyanConnode has taken steps to mitigate such shortages by purchasing components from alternative suppliers. However, in some cases it has become necessary to make advance payments to secure the supply of semiconductors used in the module manufacturing process.