archTIS Ltd (ASX:AR9) has been granted a trading halt by the ASX ahead of the release of a capital raising announcement.
The halt will be in place until Thursday, November 12, or when an announcement is released to the market, whichever occurs earliest.
archTIS has a market cap of approximately $69.5 million and shares last traded at 39 cents and have risen from 22 cents at market close on July 30.
Acquisition of Nucleus Cyber
The company recently entered into a binding term sheet to buy global information protection business Nucleus Cyber Inc for total potential consideration of up to $9.75 million in shares.
This acquisition will create a global, geographically diverse company that supports archTIS’ strategy of being the world’s premier provider of policy enforced access control platforms for securing and sharing digital information.
It leverages on its core capabilities, expands its offering into the Microsoft Corporation’s (NASDAQ:MSFT) product suite and instantly opens new commercial and geographic markets via Nucleus Cyber’s Microsoft co-sell agreement through Microsoft field sales and channel resellers.