Light Science Technologies Holdings PLC (AIM:LST) (LON:LST), a controlled environment agriculture (CEA) and contract electronics manufacturing (CEM) group, is to list on AIM.
The company has announced a conditional placing of shares at 10p a pop to raise £5.2mln; 200,000 of the shares have been placed with Simon Deacon, the group’s chief executive officer (CEO).
The funds raised will be invested to speed up the group’s growth, primarily through its CEA operations, by expanding the division’s UK scientific laboratory grow room.
The placing price implies a stock market capitalisation of £17.4mln for the group.
Trading in the shares is expected to start on 15 October.
The company’s UK circuit/contract electronics manufacturing division made an underlying profit (EBITDA) of around £800,000 in 2020 on revenue of £6.9mln and currently has a forward order book of £5mln for the next six to nine months.
"We eagerly anticipate the next step in our journey through the admission to trading on AIM. The company is well placed to use the funds raised in the placing to develop our substantial CEA pipeline and take full advantage of our increasing presence in this growing market,” said Simon Deacon, the company’s CEO.
“We believe there will be significant demand for our solutions - especially given increasing food shortages and security issues, climate change and growing populations all underpinning demand as growers look to increase yields and reduce energy consumption and costs,” he added.