Listed semiconductor company Weebit Nano Ltd (ASX: WBT) has secured $12 million via an oversubscribed share Placement to new and existing institutional and sophisticated investors.
The Placement comprises an offer of 7,058,824 new fully paid ordinary shares at an issue price of $1.70 per share – a 24.8% discount to the last closing share price on 20 November 2020. A non-underwritten Share Purchase Plan to raise up to $3 million will enable eligible shareholders to participate on the same terms as the Placement.
Weebit will use the Placement proceeds to accelerate its commercialisation initiatives, including strengthening its technology, engineering, and sales teams. It also enables the company to accelerate process qualification as it preparest to transfer its silicon oxide ReRAM technology to a production fab, initiate the shift to 300nm/28nm and increase marketing activities in the embedded memory market, where the company remains on track to achieve first commercial agreement by mid-2021.
Funds will also be used to fast-track the next phase of Weebit’s standalone memory development and support partnership programs with select foundries to accelerate deployment. The raise also supports research of neuromorphic computing architectures and development of the next generation of Weebit and Leti’s neuromorphic demo.
Commenting on the Placement, Weebit Nano CEO Coby Hanoch said: “We are very encouraged by the strong level of support shown by both new and existing investors. I would like to thank our existing shareholders for their continued support. We also welcome the new shareholders to our register during an exciting time for Weebit Nano as the company moves closer to commercialisation.
“After successfully completing our technology stabilisation process and recently broadening our strategic partnership with CEA-Leti, we are very excited to be in the final stages of pre-commercialisation and to be able to further accelerate key development and commercialisation activities across the embedded and standalone memory domains, as well as the neuromorphic domain.
“We see huge potential for Weebit Nano’s technology in these very attractive markets. This Placement allows us to bring forward growth initiatives that were planned for one to two years’ time, supporting our ability to deliver on the attractive opportunities we see for the company.”
Market Eye acted as corporate advisor, and Canaccord Genuity (Australia) Limited acted as Lead Manager to the Placement.
