REG - Kromek Group PLC - Fundraising of £1.7m

KromekAnnouncement

05/08/2022 07:00

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RNS Number : 0218V  Kromek Group PLC  05 August 2022

05 August 2022

 

Kromek Group plc

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

 

Fundraising of £1.7m

 

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 £1.7 million (the
"Fundraising") through the issue of convertible loan notes ("Loan Notes") to
existing and new investors in the Company. The proceeds of the Fundraising
will be used to provide additional working capital to minimise any potential
supply chain disruption to the delivery of contracts during the year.

 

The Loan Notes have a term of 18 months (with the Company having the option to
extend the majority of the loan notes by three months), are senior in ranking
and unsecured. The Loan Notes are convertible at investors option into
ordinary shares in the capital of the Company ("Ordinary Shares") at 15 pence
per Ordinary Share, representing a 30% premium to the mid-price of the
Company's share price at close of business on 04 August 2022. The Loan Notes
carry a coupon of 8% per annum and have a conversion date of 31 January 2024.

 

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

 

Based on a Fundraising of £1.7 million, the Loan Notes would, if converted at
15 pence per share, represent approximately 11.3 million Ordinary Shares,
amounting to 2.6% 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

 Luther Pendragon (Financial PR)
 Harry Chathli/Claire Norbury                                      +44 (0)20 7618 9100

 

 

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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