13 Jun 2017 07:00
13 June 2017
HaloSource, Inc.
("HaloSource" or the "Company")
Update on Fundraising and Funding Options
HaloSource Inc. (HAL.LN, HALO.LN), the global clean water technology company traded on London Stock Exchange's AIM market, refers to its announcement of 9 June 2017 in relation to its conditional fundraising to raise approximately £1.9 million ($2.4 million) (the "Fundraise").
The Company previously announced that the cornerstone investor for the Fundraise had advised that it would be seeking to make another application to obtain the Chinese governmental approval to allow it to participate in the Fundraise. The Company now understands that the cornerstone investor will no longer make the application because there can be no guarantee of a positive outcome. The Company and the cornerstone investor are now in ongoing discussions regarding alternative fundraising options, which would not require an application to be made for Chinese governmental approval, and in parallel, the Company continues to explore fundraising options with other investors including existing shareholders.
Investors should be aware that there is no certainty that any fundraising will complete, nor of the terms of any fundraise. As previously announced, the Company's cash position is expected to fund the Company until the end of June 2017 at which point the Company will cease to trade as a going concern. Therefore, if the Company does not complete a fundraising prior to the Company exhausting its cash resources, the Board will have no choice but to initiate insolvency proceedings and seek suspension to trading of the Company's shares on AIM and shareholders may lose all or a substantial amount of their equity investment.
The information communicated in this Announcement is inside information for the purposes of Article 7 of Market Abuse Regulation 596/2014 ("MAR"). For the purposes of MAR and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is being made on behalf of the Company by Craig Crowell, Chief Financial Officer.
Enquiries:
HaloSource, Inc. | |
James Thompson, Chief Executive Officer | +1 425 419 2257 |
Craig Crowell, Chief Financial Officer | +1 425 419 2248 |
Hybridan LLP (Sole Broker) | |
Claire Noyce | +44 203 764 2341 |
Liberum Capital Limited (NOMAD) | |
Richard Bootle, Jill Li, Steve Pearce
| +44 203 100 2222 |