Successful fundraising for smart home technology company
LightwaveRF, the Birmingham-based company that is competing with Hive and Nest in the smart home market, is looking to raise £6m to fund its growth.
The business is listed on the Alternative Investment Market and in September its share price hit a two-year high on the back of a key deal with Deta, which promised revenues of £2m in its first year.
It is looking to build on its momentum with a fundraising in three parts. It has raised £2.0m through a firm placing and has conditionally raised a further £3.0m from new and existing shareholders. It will seek shareholder approval on plans to raise an additional £1.0m through a conditional open offer.
Andrew Pearson, chief executive of LightwaveRF, said: “I am delighted with the level of interest that we have received for the fundraise, which is a great endorsement of our business plans and ambition.
“The new funds will support further product development and bolster our sales and marketing activity, as we continue to scale up the business and strengthen our position as a leading player in the Smart Home market.”
The shares are being offered at 16p, which is a 13.5% discount on Friday’s closing price of 18.5p.
The net proceeds will be used to fund product development, sales and marketing of LightwaveRF’s second-generation devices and for working capital purposes.
