GenIP PLC (LSE:GNIP) has raised £350,000 before expenses through a share placing priced at a steep discount, giving the AI-driven commercialisation consultancy extra working capital as it builds out its partnerships and product platform.
The AIM-listed company placed 5mln new ordinary shares at 7p each, a 38% discount to Thursday’s closing mid-price of 11.25p. The placing shares represent roughly 24.4% of GenIP’s existing issued share capital.
GenIP said the proceeds will be split between staffing, research and development, and general working capital. It plans to allocate £100,000 to staffing, including account management staff for its growing network of partnerships and alliances; £150,000 to R&D linked to new product and platform development; and £100,000 to working capital and fundraising fees.
Chief executive Melissa Cruz said the fundraise comes “at a time of significant commercial momentum” and would help GenIP monetise its expanding partnership network while continuing product development.
In London, the GenIP share price plunged some 37% lower, accounting for the discount and dilution, down 4.25p to change hands at 7p.