Argonaut has been successful in raising A$31.6 million (gross) for Austin Engineering Limited (ASX: ANG) (“Austin”) via an accelerated entitlement offer to institutional and retail investors of approximately 70,228,337 new ordinary shares at an issue price of A$0.45 per share with joint underwriter, Bell Potter Securities Limited.
In addition to the entitlement offer Austin is undertaking a three year subordinated loan from Lim Advisors Special Situations Fund to raise approximately $20 million before costs.
The net proceeds of the Capital Raising will be used to reduce senior debt, strengthen the financial position of the Company and provide a capital structure which will optimise cash flow.
Argonaut is delighted to provide ongoing support to Austin and looks forward to the relationship continuing.
Additional information regarding Austin Engineering, the Entitlement Offer and subordinated loan can be found on the company’s website at www.austineng.com.au.