Components group Versarien PLC (LON:VRS) has raised £1.1mln to fund its push into graphene-related technologies.
The funds will be used to finance an acquisition flagged up in April where Versarien sees the use of graphene enhancing the existing product range.
Heads of terms have been agreed for the acquisition and the balance will met by debt facilities.
Existing Versarien shareholders Henderson Global Investors and Miton Asset Management both have stakes of more than 10% in the company to be acquired, which makes it a related deal under AIM rules.
Placing shares will be issued at 10p per share, a discount of around 5% to the market price Friday.
Neill Ricketts, Versarien’s chief executive, said: "We are delighted by the strong level of support from existing investors in the placing.
“The proceeds of the fundraising should allow for the company to capitalise on a number of significant opportunities such as the potential acquisition in addition to accelerating the progress of the business.”