Versarien has hit long term investors with another placing raising £450,000 through issuing nearly 1.4 billion new ordinary shares at 0.0325p each.
The heavily discounted placing sent Versarien shares sharply lower, touching all time lows in early trade.
Versarien said the fresh capital will bolster capabilities in several key areas. Firstly, it will enhance the firm’s in-house concrete and mortar testing facilities. Additionally, the funds will support external UKAS accredited testing services for 3D construction printed products. Some of the proceeds are also earmarked for general corporate purposes and working capital.
No matter the allocation of capital, the placing will be a bitter blow for investors after a series of positive updates from the company in recent months.
In August, the company inked its first major 3DCP contract with Building For Humanity CIC for a project in Accrington. Moreover, October saw Versarien embark on a year-long, commercially funded venture with construction giant Balfour Beatty to develop graphene-enhanced 3DCP materials.
These developments underscore the growing traction Versarien is gaining in the construction industry. The company’s potential is further evidenced by its robust pipeline of opportunities, valued at £4.7 million as of early October. This pipeline comprises £1.6 million in commercial prospects and £3.1 million in potential grants.