Quickstep doubles raising target to $13m

Composites manufacturer Quickstep Holdings has raised more than double its targeted amount with its share purchase plan raising close to $13 million.

The North Coogee-based company had initially sought to raise $6.24 million from the share purchase plan, but following strong interest from shareholders, accepted all oversubscriptions to raise $12.8 million.

The share purchase plan follows an $11.5 million share placement comprising of 22.1 million shares issued at 52 cents each to institutional and sophisticated investors.

The placement and SPP were managed by State One Stockbroking.

Proceeds from the raising will be used to buy capital equipment and non-recurring costs relating to two major memorandum of understandings the company has signed in relation to manufacturing contracts for the international Joint Strike Fighter program.

The first MoU was signed with global aerospace companies Lockheed Martin and Northrop Grumann and is intended to secure around $700 million worth of potential contracts.

The second MoU was signed with Melbourne-based Marand Precision Engineering and could lead to a contract worth up to $50 million to supply composite Vertical Tail skins for the JSF.