Precise board sets terms for new shares issue

 

The board of directors of Precise Biometrics has set the terms and conditions for the new issue of shares with preferential rights that was agreed on 30 July, 2009. The offer is conditional on the decision of an extraordinary general meeting being held today (21 August, 2009). 

Each existing share in Precise Biometrics carries an entitlement to one subscription right. Three subscription rights entitle subscription to one new share. The subscription price has been set at SEK 1.60 per share, which means that the issue of 33,740, 200 new shares will provide the firm with a total of SEK 54.0 million, before issue costs. If the offer is fully subscribed the number of shares in the company will total 134,960,800. The latest issue will increase its share capital by SEK13,496,080 to a maximum of SEK53,984,320.

Precise Biometrics says it needs to strengthen its working capital to ensure continued growth after it secured the largest order in its history in July 2009. It adds that it intends to increase its market cultivation in certain key market segments and geographical areas with improved sales and marketing resources. By establishing a strong financial position, the firm expects to increase its likelihood of winning more orders of a similar size to the one it received from US government agencies in July 2009.

The record day at Euroclear to obtain subscription rights is 27 August, 2009. The subscription period runs from August 31 – September 14, 2009, or a date to be decided by the board of directors.