REG - Kromek Group PLC - Fundraising of £1.14 million

KromekAnnouncement

23/08/2022 11:15

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RNS Number : 9402W  Kromek Group PLC  23 August 2022

23 August 2022

 

Kromek Group plc

("Kromek" or the "Company" or the "Group")

 

Fundraising of £1.14 million

 

Kromek Group plc, a leading developer of radiation and bio-detection
technology solutions for the advanced imaging and CBRN detection segments, is
pleased to announce that it has completed a fundraising of £1.14 million (the
"Fundraising") through the issue of convertible loan notes ("Loan Notes") to
existing shareholders in the Company. The net proceeds of the Fundraising will
be used to provide additional working capital to mitigate against any
potential future supply chain issues. This new fundraising brings the total of
new funds raised via convertible loan notes to £2.84 million following the
fundraising of £1.7 million announced on 5 August 2022.

 

The Loan Notes have a term of 18 months (with the Company having the option to
extend the loan notes by three months), are senior in ranking and unsecured.
If the Loan Notes are repaid other than on the repayment date, they are
convertible at the investors option into ordinary shares in the capital of the
Company ("Ordinary Shares") at 15 pence per Ordinary Share, representing a 38%
premium to the mid-price of the Company's share price at close of business on
22 August 2022. The Loan Notes carry a coupon of 8% per annum and have a
conversion date of 22 February 2024.

 

Where the Loan Note holders have the right to elect to be repaid in whole or
in part in Ordinary Shares, the conversion price is the lower of the closing
mid-market price on the repayment date and 15 pence per share.

 

Based on a Fundraising of £1.14 million, the Loan Notes would, if converted
at 15 pence per share, represent approximately 7.6 million Ordinary Shares,
amounting to 1.76% of the current issued share capital of the Company.

 

 

For further information, please contact:

 

 Kromek Group plc
 Arnab Basu, CEO                                                 +44 (0)1740 626 060

 Paul Farquhar, CFO

 finnCap Ltd (Nominated Adviser and Broker)
 Geoff Nash/Seamus Fricker/George Dollemore - Corporate Finance  +44 (0)20 7220 0500
 Tim Redfern/Charlotte Sutcliffe - ECM

 Gracechurch Group (Financial PR)
 Harry Chathli/Claire Norbury                                    +44 (0)20 3488 7510

 

 

About Kromek Group plc

Kromek Group plc is a leading developer of radiation detection and
bio-detection technology solutions for the advanced imaging and CBRN detection
segments. Headquartered in County Durham, UK, Kromek has manufacturing
operations in the UK and US, delivering on the vision of enhancing the quality
of life through innovative detection technology solutions.

 

The advanced imaging segment comprises the medical (including CT and SPECT),
security and industrial markets. Kromek provides its OEM customers with
detector components, based on its core cadmium zinc telluride (CZT) platform,
to enable better detection of diseases such as cancer and Alzheimer's,
contamination in industrial manufacture and explosives in aviation
settings.

 

In CBRN detection, the Group provides nuclear radiation detection solutions to
the global homeland defence and security market. Kromek's compact, handheld,
high-performance radiation detectors, based on advanced scintillation
technology, are primarily used to protect critical infrastructure and urban
environments from the threat of 'dirty bombs'.

 

The Group is also developing bio-security solutions in the CBRN detection
segment. These consist of fully automated and autonomous systems to detect a
wide range of airborne pathogens.

 

Kromek is listed on AIM, a market of the London Stock Exchange, under the
trading symbol 'KMK'.

 

Further information is available at www.kromek.com (http://www.kromek.com) .

 

 

The information communicated in this announcement contains inside information
for the purposes of Article 7 of the Market Abuse Regulation (EU) No.
596/2014.

 

 

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