Pires Investments (AIM:PIRI) has placed 53m new ordinary shares to raise gross proceeds of £1,060,000 at a price of 2.0 pence per share.
The AIM-listed firm told investors 22.7 new ordinary shares were placed at 2p, representing a 14.9% discount to the closing mid-market price on 23 April 2020 and raising gross proceeds of £454,286.
A further issue of 30,285,714 new ordinary shares, at the same placing price, raising additional gross proceeds of £605,714 is conditional on authorities being granted at the forthcoming GM.
Placees will also conditionally receive one warrant for each ordinary share subscribed for, exercisable at 4p for a period of two years from their date of issue and expiring on the two-year anniversary of the date of issue.
Shares in Pires Investments were trading 57.45% higher at 3.7p during Friday morning trading.
In aggregate, 53,000,000 placing warrants have been conditionally issued.
The issue of the Placing Warrants is conditional on shareholder authorities being granted at the shortly to be convened Annual General Meeting.
Chris Akers, a new investor in the group, has subscribed for 17.5 placing shares and conditional placing shares, representing 14.7% of Pires’ enlarged issued share capital.
"We are pleased that we have been able to raise new funding to implement our strategy and we welcome Chris Akers as a new shareholder with his proven track record of investing in the technology sector,” said Peter Redmond, Chairman of Pires.
He added, “We believe this is a very exciting time for the Company and I look forward to updating the market on subsequent developments."
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