Belfast-based autonomous mining technology group Tribe Technology has signalled its intention to float on AIM, the London Stock Exchange’s junior market, through a £4.5 million fundraising exercise.
In a regulatory statement posted on Friday, Tribe cited working capital requirements as the primary reason for the fundraise, with £3.7 million earmarked to fulfil the existing order book and bolster the group's inventory.
The group will allocate £600,000 to expanding the company's engineering, sales, and support teams and £200,000 to research and development.
Furthermore, Tribe’s board has introduced a retail offer via BookBuild, offering up to four million new ordinary shares at the same issue price. The net proceeds from this retail offer will be used similarly to the main fundraise.
"We believe now is the right time to bring our story to the public market and that London, with its international investor base, and a strong knowledge of the mining industry is the right place to start this journey, especially given our production facilities in Northern Ireland,” said chief executive Charlie King.
He added: “Admission to AIM will also give us additional visibility and transparency, as well as the resources we need to fund our growth and technology and business development."
Founded in Western Australia in 2019, Tribe Technology relocated its headquarters and manufacturing to Northern Ireland.
The company's mission is to enhance safety and efficiency in the mining sector through its autonomous Tribe Tech drill rigs, which are built around its proprietary Tribe Technology Drilling System (TTDS).
Allenby Capital Limited (LSE:CAPD) is serving as the nomad and sole broker for Tribe’s IPO.
The retail offer is open from now until August 25.