Tern PLC shares dropped on Friday, after announcing it plans to raise up to £384,408 through a shareholder open offer priced at 0.40p, as the AIM-listed IoT investor looks to shore up working capital and protect its stakes in portfolio companies facing tighter funding conditions.
The offer is being made on a pre-emptive basis at a 20% discount to the prior session’s 0.50p closing mid-price, with qualifying shareholders able to subscribe for one new share for every seven held.
Tern said its cash position is under strain, with an unaudited balance of around £24,000 as at 6 February 2026, and warned it may need additional funding within 12 months beyond the open offer unless it achieves a material exit or asset sale.
In London, Tern shares were down 20%, trading at 0.4p.