£5.5m fundraise at medical test manufacturer

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Abingdon Health has conditionally raised gross proceeds of about £5.5m via a placing, subscription and PrimaryBid offer from existing and new investors at an issue price of 25 pence per share.

Earlier today, the York and Doncaster-based company confirmed it was looking to raise no less than £4m.

A total of 18,800,000 placing shares have been placed by Singer Capital Markets Securities Limited to raise gross proceeds for the company of £4.7m. The gross proceeds of the placing includes a subscription for approximately £0.5m of placing shares by participating directors.

In addition to the placing, one of the company’s shareholders has subscribed for 1,200,000 subscription shares at the issue price, to raise further gross proceed for the company of £300,000.

Concurrent with the placing and the subscription, certain investors have also subscribed for 2,000,000 PrimaryBid shares, raising gross proceeds of £0.5m

The placing shares, subscription shares and PrimaryBid shares together represent approximately 23% of the existing issued share capital of the company.

Abingdon Health is an international developer and manufacturer of rapid medical tests.

The net proceeds receivable by the business from the placing, subscription and PrimaryBid offer, together with the net proceeds from an open offer once closed, will be used to support the company’s working capital position as well as to invest in new product development.

Dr Chris Hand, chairman of Abingdon Health, said: “I would like to thank our existing shareholders for their support and welcome new investors to the company.

“We are also pleased to be launching the open offer, thereby providing an opportunity for our wider shareholder base to participate in the fundraising.

“The proceeds from the fundraising will provide us with the further funding we need for investment in working capital ahead of anticipated order inflow and also enable us to capitalise on new and exciting growth opportunities in our markets.

“The last 12 months have clearly been challenging for us, however, throughout this period our enthusiasm for the role lateral flow tests can play in combating COVID-19 and other multiple diseases and for other on-site testing needs remains undiminished.

“We look forward to updating both our existing shareholders and new investors on our progress.”