REG - Ethernity Networks - Warrant exercise under structured investment deed

Ethernity NetworksAnnouncement

21/10/2024 07:00

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RNS Number : 8591I  Ethernity Networks Ltd  21 October 2024

21 October 2024

 

ETHERNITY NETWORKS LTD

("Ethernity" or the "Company")

 

Warrant exercise under structured investment deed

 

Ethernity Networks (AIM: ENET.L; OTCMKTS: ENETF), a leading supplier of data
processing semiconductor technology for networking appliances, announces that
it has received a warrant exercise notice for £195,000 from New Technology
Capital Group, LLC ("New Tech") pursuant to the Structured Investment Deed
("Investment Deed"), details of which were announced on 17 May 2024 (the
"Announcement).

 

Accordingly, the Company has issued and allotted 195,000,000 new ordinary
shares of NIS 0.001 each in the Company ("Ordinary Shares") to New Tech at an
issue price of 0.1p per Ordinary Share (the "New Ordinary Shares"). The issue
price was determined by reference to the pricing mechanism in the Investment
Deed, as set out in the Announcement and the Company's announcement on 15 July
2024.

 

Application will be made to the London Stock Exchange for the New Ordinary
Shares to be admitted to trading on AIM ("Admission") and Admission is
expected to occur on or around 25 October 2024. The New Ordinary Shares will,
upon Admission, rank pari passu with the existing Ordinary Shares in the
Company.

 

Following the receipt of this warrant exercise notice and the issue of the New
Ordinary Shares, the remaining balance in relation to which New Tech may
exercise its Warrant under the Investment Deed is £210,000, less the value of
the 40,000,000 Subscription Shares issued to New Tech at the time of entering
into the Investment Deed (as set out in the Announcement) at the relevant
exercise price. Based on the deemed exercise price for this warrant issue of
0.1p, the remaining outstanding balance under the Investment Deed is £170,000
(however, this amount may vary depending on the relevant exercise price at the
time of exercise). Were the relevant exercise price to be higher than 0.1p,
then the outstanding balance would be lower than £170,000, For example, were
the relevant exercise price to be 0.3p then the outstanding balance would be
£90,000.

 

Total voting rights

 

Following Admission, the Company's enlarged issued share capital will be
902,233,909 Ordinary Shares. The Company holds no Ordinary Shares in Treasury.
This figure of 902,233,909 Ordinary Shares may be used by shareholders in the
Company as the denominator for the calculations by which they will determine
if they are required to notify their interest in, or a change in their
interest in, the share capital of the Company under the FCA's Disclosure
Guidance and Transparency Rules.

 

 

For further information, please contact:

 

 Ethernity Networks Ltd                                         Tel: +972 3 748 9846
 David Levi, Chief Executive Officer

 Tomer Assis, Chief Financial Officer

 Allenby Capital Limited (Nominated Adviser and Joint Broker)   Tel: +44 (0)20 3328 5656
 James Reeve / Piers Shimwell (Corporate Finance)

 Amrit Nahal / Stefano Aquilino (Sales and Corporate Broking)

 CMC Markets UK plc (Joint Broker)                              Tel: +44 (0)20 3003 8632
 Douglas Crippen

 Peterhouse Capital Limited (Joint Broker)                      Tel: +44 (0)20 7562 0930
 Lucy Williams / Duncan Vasey / Eran Zucker

 

 

 

About Ethernity (www.ethernitynet.com)

 

Ethernity Networks (AIM: ENET.L) provides innovative, comprehensive networking
and security solutions on programmable hardware for accelerating telco/cloud
networks. Ethernity's semiconductor logic offers complete Carrier Ethernet
Switch Router data plane processing and control software with a rich set of
networking features, robust security, and a wide range of virtual function
accelerations to optimize telecommunications networks. Ethernity's complete
solutions quickly adapt to customers' changing needs, improving
time-to-market, and facilitating the deployment of 5G, edge computing, and
Broadband Networks.

 

 

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