BrainChip Holdings Ltd. (“BrainChip” or the “Company”), a leading developer of software and hardware accelerated solutions for advanced Artificial Intelligence (AI) and machine learning applications, is pleased to announce that it has completed a placement to raise A$21.5 million (“Placement”).
The Placement was conducted at an issue price of A$0.18 a share, representing a 26.5% discount to BrainChip’s last closing price of A$0.245 (as at Thursday, 26 October 2017), and a 16.9% discount to the 10-day volume weighted average price (“VWAP”) of A$0.2166. The Placement was heavily oversubscribed and was supported by a large number of institutions. Shaw and Partners Limited acted as Lead Manager to the Placement with Foster Stockbroking Pty Ltd acting as Co-Lead Manager.
The Company will host a conference call on Monday 06 November at 9:00 a.m. Interested investors can register on the Company’s website and may submit questions in advance to BrainChipUpdate@BrainChipInc.com
The proceeds from the Placement will primarily be used to fund working capital requirements including:
- ongoing research and development of BrainChip’s existing video analytics products and its planned AKIDATM Neuromorphic ProcessorUnit;
- operational capabilities, including capacity to service new design wins; and
- sales and marketing initiatives to drive the Company’s commercialization strategy via original equipment manufacturers, integrators and other partners.
119,380,063 shares to be issued pursuant to the Placement (“Placement Shares”) will be issued in accordance with ASX Listing Rule 7.1 under the Company’s existing placement capacity. The shares issued under the Placement will comprise approximately 12% of BrainChip’s total post-placement issued share capital and will rank equally with existing ordinary shares.
Louis DiNardo, BrainChip’s President & CEO, said: “The strong support of institutional and sophisticated investors in this capital raising is a solid endorsement of our Company and places BrainChip in a very strong position to accelerate the growth of its business. The money raised will help us to expand BrainChip’s sales and marketing initiatives and secure new design wins as well as greatly assist with our research and development capabilities, namely the development of our groundbreaking AKIDATM Neuromorphic Processor Unit.”
The dates provided in the timetable below are indicative only and are subject to change at the Company’s complete discretion.
|Placement results announced and Company’s shares re-commence trading on the ASX||Tuesday, 31 October 2017|
|Expected settlement, issue and allotment of Placement Shares||Monday, 6 November 2017|
|Expected date of quotation of Placement Shares on the ASX||Tuesday, 7 November 2017|
BrainChip Holdings Ltd | www.brainchipinc.com