Perth-based wound care product developer Acuron Ltd has announced a non-renounceable entitlements issue to raise over $642,000 to provide working capital for the company.
The issue, of over 85 million shares at 0.75 cents each, will be distributed on the basis of two shares for every three shares held as at 5 pm on August 22.
A statement issued by company chairman Andrew Gay indicates that Acuron has been unable to procede with its growth strategies, such as joint ventures or the issue of licences for the production of their products through their Protex subsidiary, while its UK and EU patents remain subject to a pending recovation action from another company.
Acuron has downsized the Protex executive and operational teams in the UK and Australia in order to reduce costs in the meantime.
The issue is fully underwritten by Entrust Funds Management Ltd, and option holders are not eligible to participate.
Ernst and Young will be auditors to the deal, with Steinepreis Paganin acting as solicitors to the company.
The offer will open on August 28, and close on September 12.
