Versarien has raised £1.85mln through a placing at 10p per share with the money to be used by the graphene specialist for commercialisation work in the construction and leisure sectors.
Neill Ricketts, chief executive, said: "These funds will allow the company to focus on the significant opportunities it is seeing in the construction and leisure sectors.
“While we will continue to review projects in other sectors, the board believes these two areas represent the best opportunities for near-term commercial success.
“In parallel, the company continues to explore additional funding options, with a focus on non-dilutive options such as grant funding and strategic partnership opportunities."
Shares fell 33% to 10.7p.