Kromek Group PLC Fundraising of GBP1.14 million (9402W)

TIDMKMK

RNS Number : 9402W

Kromek Group PLC

23 August 2022

23 August 2022

Kromek Group plc

("Kromek" or the "Company" or the "Group")

Fundraising of GBP1.14 million

Kromek Group plc, a leading developer of radiation and bio-detection technology solutions for the advanced imaging and CBRN detection segments, is pleased to announce that it has completed a fundraising of GBP1.14 million (the "Fundraising") through the issue of convertible loan notes ("Loan Notes") to existing shareholders in the Company. The net proceeds of the Fundraising will be used to provide additional working capital to mitigate against any potential future supply chain issues. This new fundraising brings the total of new funds raised via convertible loan notes to GBP2.84 million following the fundraising of GBP1.7 million announced on 5 August 2022.

The Loan Notes have a term of 18 months (with the Company having the option to extend the loan notes by three months), are senior in ranking and unsecured. If the Loan Notes are repaid other than on the repayment date, they are convertible at the investors option into ordinary shares in the capital of the Company ("Ordinary Shares") at 15 pence per Ordinary Share, representing a 38% premium to the mid-price of the Company's share price at close of business on 22 August 2022. The Loan Notes carry a coupon of 8% per annum and have a conversion date of 22 February 2024.

Where the Loan Note holders have the right to elect to be repaid in whole or in part in Ordinary Shares, the conversion price is the lower of the closing mid-market price on the repayment date and 15 pence per share.

Based on a Fundraising of GBP1.14 million, the Loan Notes would, if converted at 15 pence per share, represent approximately 7.6 million Ordinary Shares, amounting to 1.76% of the current issued share capital of the Company.

For further information, please contact:

 
Kromek Group plc 
Arnab Basu, CEO 
 Paul Farquhar, CFO                          [phone] 
 
finnCap Ltd (Nominated Adviser and Broker) 
Geoff Nash/Seamus Fricker/George Dollemore 
 - Corporate Finance                         [phone] 
Tim Redfern/Charlotte Sutcliffe - ECM 
 
 
  Gracechurch Group (Financial PR) 
Harry Chathli/Claire Norbury                 [phone] 
 

About Kromek Group plc

Kromek Group plc is a leading developer of radiation detection and bio-detection technology solutions for the advanced imaging and CBRN detection segments. Headquartered in County Durham, UK, Kromek has manufacturing operations in the UK and US, delivering on the vision of enhancing the quality of life through innovative detection technology solutions.

The advanced imaging segment comprises the medical (including CT and SPECT), security and industrial markets. Kromek provides its OEM customers with detector components, based on its core cadmium zinc telluride (CZT) platform, to enable better detection of diseases such as cancer and Alzheimer's, contamination in industrial manufacture and explosives in aviation settings.

In CBRN detection, the Group provides nuclear radiation detection solutions to the global homeland defence and security market. Kromek's compact, handheld, high-performance radiation detectors, based on advanced scintillation technology, are primarily used to protect critical infrastructure and urban environments from the threat of 'dirty bombs'.

The Group is also developing bio-security solutions in the CBRN detection segment. These consist of fully automated and autonomous systems to detect a wide range of airborne pathogens.

Kromek is listed on AIM, a market of the London Stock Exchange, under the trading symbol 'KMK'.

Further information is available at www.kromek.com .

The information communicated in this announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014.

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August 23, 2022 06:10 ET (10:10 GMT)