Proactive Investors - Run By Investors For Investors

Tekcapital raises cash to 'expand' commercialisation of IP portfolio

A “significant amount” of the cash proceeds will be used to expand the company's commercialisation of its portfolio of businesses
autonomous vehicle
Tekcapital's portfolio includes autonomous car software specialist Guident

Tekcapital PLC (LON:TEK) has agreed to raise £0.75mln from institutional shareholders to help with the commercialisation of its portfolio of technological intellectual property.

Investors have bought 9.4mln new shares at a price of 8p apiece in the placing, with the new shares representing roughly 14.7% of its enlarged shares in issue.

READ: Tekcapital's Salarius in talks with “numerous” snack-food companies for MicroSalt

The company, which has seen its shares rise from 6p at the start of the year to above 11p after progress at its portfolio companies, said a “significant amount” of the cash proceeds will be used “to expand Tekcapital's commercialisation of their investment portfolio of businesses”.

Executive chairman Clifford Gross said the placing has been successfully concluded with new and existing investors.

He believes there is “considerable value to be realised” from the portfolio of patent rights but also said some of the new cash would be used for working capital purposes.

The portfolio includes two wholly owned companies: Lucyd, maker of internet-enabled spectacles, and Guident, which specialises in software for autonomous vehicles.

It also owns 97.5% of Salarius, which is already selling its Microsalt to help reduce sodium consumption, and a 21.7% stake in Belluscura, developer of a portable oxygen concentrator for people suffering from chronic obstructive pulmonary disease that is on track to receive US regulatory clearance later this year.

Tekcapital last raised cash in October, a gross $1.16mln from the placing of 11.7mln shares at a price of 7.5p per share.

View full TEK profile View Profile

Tekcapital PLC Timeline

Related Articles

machines
July 04 2019
The company has so far in 2019 signed a number of deals for its technology, including an agreement for safety features in self-driving cars
MRI scanner
March 19 2019
The company invests and helps build companies in the medical and technology sectors, with a target exit valuation of over US$100mln
Irrigation
May 15 2019
The company’s products can be used for wireless and mobile internet applications, while its military hardware encompasses a range of tactical and specialised communications antennas

© Proactive Investors 2019

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use