IQE PLC (AIM:IQE), the AIM-listed compound semiconductor wafer manufacturer, saw its shares fall 19% to 40p after closing a placing and retail offer at 19.8p per share, a price less than half the previous close, as part of a broader £81 million fundraising package.
The placing and retail offer together raised £13 million through the issue of just over 65.6 million new shares, with Peel Hunt acting as sole bookrunner.
The wider fundraising package combines the placing proceeds with a strategic investment from MACOM Technology Solutions, a US semiconductor company, and the reinvestment of existing convertible loan notes by current noteholders.
The full £81 million is conditional on shareholder approval at a general meeting scheduled for 15 May 2026, as well as clearance for MACOM's investment under the UK's National Security and Investment Act and equivalent Italian foreign direct investment legislation.
None of the fundraising is underwritten, meaning the outcome of the shareholder vote carries genuine risk.
IQE supplies advanced semiconductor wafer products used in applications including wireless communications, photonics, and power electronics, serving customers across the defence, consumer electronics, and data centre markets.