# Surface Transforms Successful £1.9 million placing

- Link: https://www.directorstalkinterviews.com/surface-transforms-successful-1-9-million-placing/412770064
- Published: 2019-03-20T07:20:59+00:00
- Author: Giles Arbor

**[Surface Transforms](https://www.directorstalkinterviews.com/company/surface-transforms-plc/sce.l)
plc** ([LON:SCE](https://www.directorstalkinterviews.com/company/surface-transforms-plc/sce.l)),
manufacturers of carbon fibre reinforced ceramic materials, has today announced 
that it has successfully placed 12,303,600 new ordinary shares of 1p each at 15.5
pence per placing share, raising gross proceeds of approximately £1.9 million pursuant
to its existing authority to issue equity for cash, conditional on admission of 
the Ordinary Shares to trading on AIM.

The funds raised will allow the business to grow and develop, with far less dependence
on the timing of SOP for OEM 6. The net proceeds of the Placing will fund the further
advancement and strengthening of IP, the acquisition of capital plant and for general
working capital purposes.

**Related Party Transactions**

Unicorn Asset Management Limited, as a substantial shareholder of the Company, is
subscribing for 1,484,776 Placing Shares, which constitutes a related party transaction
under the AIM Rules for Companies.

Canaccord Genuity Group Inc, as a substantial shareholder of the Company, is subscribing
for 2,519,641 Placing Shares, which constitutes a related party transaction under
the AIM Rules for Companies.

Accordingly, the board of directors of the Company consider, having consulted with
the Company’s nominated adviser, that the terms of the participation by Unicorn 
Asset Management Limited and Canaccord Genuity Group Inc. are fair and reasonable
insofar as the Company’s shareholders are concerned.

> **David Bundred, Chairman of Surface Transforms plc, commented:**
> “Following recent investor demand we have conducted a placing that provides the
> Company with additional working capital. The strengthened balance sheet de-risks
> the business, and comes at an exciting time in the Company’s development.”
> “We are pleased that current shareholders continued to support our strategy to
> become a series production supplier of carbon ceramic brake discs to the large
> volume original equipment manufacturer automotive market. We look forward to the
> future with confidence.”

**Admission and Total Voting Rights**

The new Ordinary Shares will, when issued, rank pari passu in all respects with 
the existing Ordinary Shares of the Company. Application has been made for the 12,303,600
new Ordinary Shares to be admitted to trading on AIM and accordingly dealings are
expected to commence at 8.00 a.m. on 22 March 2019. Following Admission, the total
number of voting rights in the Company will be 136,014,016 and shareholders may 
use this figure as the denominator for the calculations by which they will determine
if they are required to notify their interest in, or a change to their interest 
in, the Company under the FCA’s Disclosure Guidance and Transparency Rules.

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