Bidstack Group PLC (LON:BIDS) has raised £5.7mln to boost its working capital as part of its efforts to expand its international presence and exploit “increased demand side interest” from advertising groups.
The AIM-listed firm, which provides in-game advertising technology, said it had raised £5.5mln through a "significantly oversubscribed" placing of 137.5mln new shares at a price of 4p each, a 29% discount to its Thursday closing price.
Bidstack has also raised an additional £200,000 through the subscription of 5mln new shares at the placing price by certain directors of the company and others.
Announcing the fundraising plans after Thursday’s close, the company said the proceeds of the fundraise will be used to expand its international presence and pursue higher demand from advertisers, as well as growing its network of approved local agencies and capturing the secondary viewing market.
The firm added that it is aiming to engage with more game developers and publishers, progress to the next generation of consoles and is also working on streaming platforms.
Bidstack also said it continued to expect revenues for 2020 to be “very significantly second-half weighted” and in line with expectations for the year.