Global smart hearing technology firm Nuheara Limited (ASX: NUH) is undertaking a 1-for-2.64 pro-rata accelerated non-renounceable entitlement offer of approximately $10 million of new fully paid ordinary shares at an offer price of $0.13 per New Share to support its expansion with US retailers.
It is expected that approximately 77.1 million New Shares will be issued under the Entitlement Offer (comprising approximately 37.9% of Nuheara’s existing issued capital). All New Shares issued under the Entitlement Offer will rank equally with existing ordinary shares.
The Offer Price represents a:
- 2.7% discount to the theoretical ex-rights price (“TERP of $0.1336); and
- 3.7% discount to the last close price of Nuheara shares of $0.1350 on Monday, 9 October
The Entitlement Offer strengthens Nuheara’s capability to execute on its accelerated US expansion and expected future opportunities. The proceeds of the Entitlement Offer will be used to fund:
- Working capital to support increased inventory sale ramp, given the materially increasing production ahead;
- Sales and marketing investment required to further expand points-of-sale, including in-store displays and advertising that is expected to drive sales;
- External pre-launch cost for Nuheara’s next generation single-chip product which is expected to be launched in January 2024; and
- Costs of the Entitlement Offer.
