Ilika PLC - proposed capital raising to raise GBP 5.0 million

Ilika plc (AIM: IKA), a developer of solid-state battery technology, has announced a proposed capital raising initiative aimed at securing up to £5.0 million in new funding. The capital raise includes a placing of new ordinary shares and an open offer for existing shareholders to subscribe for additional shares. The placing component has already seen conditional commitments for 6,071,428 new ordinary shares at 28 pence per share, raising approximately £1.7 million in gross proceeds. This placing was supported by subscriptions from certain directors and a substantial shareholder, GPIM Limited.

The open offer component will allow shareholders to subscribe for up to 6,114,449 new ordinary shares at the same issue price of 28 pence per share. A circular detailing the open offer is expected to be published and distributed around 13 May. The placing and open offer are conditional upon shareholder approval at a general meeting scheduled for 29 May 2024.

Liberum Capital Limited and Joh. Berenberg, Gossler & Co. KG are acting as joint bookrunners for the capital raising. The issue price represents a 5.1% discount to the closing mid-market price of 29.5 pence per share on 9 May 2024. The new shares are expected to be admitted to trading on AIM on 31 May 2024.

The capital raise is intended to support Ilika’s ongoing development and commercialization of solid-state battery technology, including its Stereax and Goliath product lines. The company emphasizes that the terms of the placing are considered fair and reasonable by its board, following consultation with its nominated adviser.