Innovation Birmingham Campus-based tenant, LightwaveRF, has raised £1 million at a big discount to its recent high as it looks to build its sales efforts on the back of last week’s news its ‘smart home’ products could be controlled via Amazon’s Echo voice control device.
After its shares shot up close to 23.5p on Tuesday, their highest level since January, the board issued 7.69m shares at a price of just 13p, but said it was looking to raise a further £1 million from existing investors at the same terms.
It was pointed out by the company that issue price was a discount of only 7.1% on the average mid-market closing price over the last 30 trading days prior to announcement of the subscription.
Lightwave, which has produced a range of devices such as light dimmers, heat and power controllers that allows users to remotely control conditions via a single mobile phone app, said it plans to use the proceeds to accelerate sales and marketing activities, together with new product development.
“The company is developing very quickly and now through just one app, LightwaveRF can either directly operate its comprehensive range of devices or be powerfully linked with other platforms,” said chief executive Mike Lord.
“We are continuing to add other platforms to this functionality and are building our distribution capability. We are delighted to have attracted additional funding from a number of new investors and that existing shareholders will have the chance to invest further to support the growth of their business.”
If shareholders accept the plans at the next general meeting, Lightwave plans to raise a further £1m through a conditional subscription and an open offer to existing shareholders on the same terms as the subscription, in which major shareholder Committed Capital and certain directors are intending to participate.
Shares in Lightwave, having rising strongly in the three days since announcing the launch of Amazon Alexa voice control for the LightwaveRF product range, fell 19.3% to 16.95p just after midday on Wednesday.