Large-scale additive manufacturing business Titomic has raised $9 million and intends to raise a further $2 million, using the funding to support commercialisation via joint ventures, investing in offshore sales and facilities, and working capital.
The ASX-listed maker of cold spray-based AM systems announced on Friday that it had completed a “ strongly supported oversubscribed share placement” at $0.26 per share for approximately 34.6 million shares. E&P Corporate Advisory and PAC Partners Securities were joint lead managers.
Eligible shareholders will be able to participate in a $2 million share purchase plan, opening on October 25, by subscribing for “up to 30,000 worth of fully paid ordinary shares” also at an issue price of $0.26 per share. This is a ten per cent discount on the last traded closing price on the ASX on Tuesday.
The support, said Chairman Andreas Schwer, validates “the strategic reset of Titomic as we focus on the commercialisation of the market leading Titomic Kinetic Fusion (TKF) technology through seamlessly integrating custom [cold spray] systems into partner supply chains, and preparing to scale globally with JV partners in aerospace and defence.
“The need for Titomic’s technology is growing as the manufacturing industry undergoes major structural shifts with companies reducing product development timelines and re-examining production methods.
AM, he added, would likely either completely replace “traditional specialised component manufacturing or become an additional production technology” for producing aerospace and defence components “needed in faster design and production schedules and with faster manufacturing and replacement times.”
Subscribe to our free @AuManufacturing newsletter here.