AMTE Power PLC (AIM:AMTE), the lithium-ion and sodium-ion battery cells maker, crashed 81% as investors reacted to last night’s hugely discounted fundraising.
Shares are to be issued at 1.7p raising £2.1 million, which AMTE said would tide it over until a new equity investor completes due diligence on a £2.5 million cash injection.
Technical due diligence is underway and the new investor expects to complete the work by the end of October 2023.
AMTE added that this new investor has offered, where suitable, to introduce companies in which it has an equity interest for possible sodium-ion battery cell offtake deals and other large-scale projects.
A retail offer is also being launched to raise up to a further £250,000.
Alan Hollis, AMTE’s chief executive, said: "We are very pleased to have the support of existing and new shareholders as we look to put in place the Initial Recapitalisation Plan and progress towards restoring the group's financial foundations.”
Thurso-based AMTE secured a £1m bridging loan with Arena investors in July when it said it was just days away from administration.
Shares fell 7.38p to 1.88p.