Issue of Equity

RNS Number : 8581U

Strat Aero PLC

12 April 2016

 

Strat Aero plc / Index: AIM / TIDM: AERO / Sector: Support Services

12 April 2016

Strat Aero plc ("Strat Aero", the "Company" or the "Group")

Issue of Equity

Strat Aero plc, an international aerospace company focused on the rapidly emerging Unmanned Aerial Vehicle ("UAV") sector, is pleased to announce that it has raised £400,000 (before expenses) through the placing ('Placing') of 35,555,556 new ordinary shares of 1p each ('Ordinary Shares') at a placing price of 1.125p per ordinary share ('Placing Shares') with both new and existing shareholders.  In addition 8,000,000 warrants with a three year expiry and an exercise price of 1.125p have also been granted in connection with the Placing.

The funds raised will be used to support the roll out of the Company's vertically integrated UAV offering which covers all aspects of the value chain including the provision of hardware, software, and data analysis services and for working capital.  Beaufort Securities Limited and Cornhill Capital Limited acted as brokers to the Placing.

Graham Peck, Chairman of Strat Aero, said, "Having built up a vertically integrated UAV offering and recently appointed CEO, Iain McLure, who comes with a first rate operational background, we are entering a new phase in our development, one which is focused on the potential of Strat Aero's existing assets and relationships.  This includes Geocurve, our wholly owned specialist provider of UAV operated topographical surveys and inspection services, which has an established blue chip customer base; our proprietary Digital Data Management software, which recently won its first contract with a leading aviation industry service provider totalling US$375,000; and our US wind turbine inspection division.  

"Strat Aero has a number of revenue streams in place in what is increasingly seen as a ground-breaking new industry with excellent growth prospects.  Together with our new CEO who has been given a mandate to integrate and optimise our existing business, these funds will help us deliver on our objective to establish Strat Aero as the go-to-provider of UAV enabled technology to the commercial, educational and military sectors."

Details of the Placing

Application will be made for the Placing shares, which will rank pari passu with the existing Ordinary Shares in the Company, to be admitted to trading on AIM ('Admission').  It is expected that Admission will become effective and dealings will commence at 7:00 a.m. on 15 April 2016.

Share Capital

Following the issue of the Placing Shares, the issued share capital of the Company will consist of 182,194,536 Ordinary Shares.  No shares were held in treasury at the date of this announcement.  The total current voting rights in the Company are therefore 182,194,536.

The above total current voting rights number is the figure which may be used by shareholders as the denominator for the calculation by which they will determine if they are required to notify their interest in, or a change to their interest in the Company.

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For further information please visit www.strat-aero.com or contact:

Strat Aero plc	Tel: [phone]
Graham Peck (Chairman)
SP Angel Corporate Finance LLP	Tel: [phone]
Nominated Adviser and Joint Broker
Stuart Gledhill Jeff Keating
Beaufort Securities Limited	Tel: [phone]
Joint Broker
Elliot Hance
Cornhill Capital Ltd
Joint Broker
Colin Rowbury	Tel: [phone]
St Brides Partners Ltd	Tel: [phone]
Financial PR Frank Buhagiar Susie Geliher

Notes

Strat Aero plc is a multi-divisional international aerospace services company, focussed primarily on the provision of complete client solutions in the Unmanned Aerial System ('UAS' market), which is predicted to show exponential growth over the coming decade.  Commercial and military applications in UASs are expected to be a dynamic growth sector in the aerospace industry over the next 10 years with the UAS market forecast to grow to more than US$82.1 billion between 2015 and 2025 (AUVSI Economic Report 2013) and the global airborne Intelligence, Surveillance and Reconnaissance ('ISR') market estimated to grow to US$19.23 billion by 2023. 

 

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