Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Rex Bionics raises 10M pounds in back-door listing in London

Rex Bionics raises 10 million pounds in back-door listing on London’s AIM exchange

By Paul McBeth

May 6 (BusinessDesk) - Rex Bionics has raised 10 million pounds as part of a reverse-listing on London’s growth-orientated AIM exchange to fund the roll-out of its robotic exoskeletons for wheelchair users.

The placement is part of a deal that sees North Shore-based Rex Bionics acquired by Union MedTech once it joins the AIM exchange and take on the New Zealand firm’s name. Union MedTech sold 5.56 million shares at 1.80 pounds each in a placement last week, which will leave a net 8.8 million pounds for Rex Bionics once the transaction is completed.

“We are now well-funded to scale up our production and marketing capabilities to meet the growing demand of wheelchair users worldwide to gain access to the life-changing and unparalleled Rex technology,” Union chief executive Jeremy Curnock Cook said in a statement. “We are delighted to welcome our new investors and would like to thank them, and existing shareholders, for their support.”

In October, Union agreed to takeover over Rex Bionics in an all-scrip deal valuing the exoskeleton at 9.5 million pounds, and last week’s placement and listing on the AIM exchange will leave the firm 49.8 percent owned by the New Zealand company’s investors. Trading in the new entity on the London Stock Exchange’s AIM market will begin on May 8.

Of the funds raised in the placement, 1.9 million pounds has been earmarked for ramping up sales and marketing of the exoskeletons, 1.7 million pounds for scaling up manufacturing, 1.6 million pounds for research and development, 1.4 million pound for general and administrative uses, and 2.2 million pounds for working capital.

The new company’s near-term goal will be to grow sales of its rehab product targeting rehabilitation centres in Europe and the US, and is planning the release of a slimmed down and cheaper device in the coming three years.

Rex Bionics reported sales of $976,000 in the six months ended Sept. 30 compared to $15,000, according to its admission document to list on the AIM exchange. It narrowed its net loss in the period to $722,000 from $2.1 million a year earlier. The New Zealand firm made a loss of $2.5 million on sales of $394,000 in the year ended March 31, 2013.

Since the 2011 financial year, Rex Bionics raised $4.1 million through share issues and $2.4 million in short-term borrowings.

It has also received some $2.9 million in government funding for research and development, a condition of which requires Rex Bionics’ production to stay in New Zealand until 2017.

(BusinessDesk)


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: RBNZ Keeps OCR At 3.5%, Signals Slower Pace Of Future Hikes

Reserve Bank governor Graeme Wheeler kept the official cash rate at 3.5 percent and signalled he won’t be as aggressive with future rate hikes as previously thought as inflation remains tamer than expected. The kiwi dollar fell to a seven-month low. More>>

ALSO:

Weather: Dry Spells Take Hold In South Island

Many areas in the South Island are tracking towards record dry spells as relatively warm, dry weather that began in mid-August continues... for some South Island places, the current period of fine weather is quite rare. More>>

ALSO:

Scoop Business: Productivity Commission To Look At Housing Land Supply

The Productivity Commission is to expand on its housing affordability report with an investigation into improving land supply and development capacity, particularly in areas with strong population growth. More>>

ALSO:

Forestry: Man Charged After 2013 Death

Levin Police have arrested and charged a man with manslaughter in relation to the death of Lincoln Kidd who was killed during a tree felling operation on 19 December 2013. More>>

ALSO:

Smells Like Justice: Dairy Company Fined Over Odour

Dairy company fined over odour Dairy supply company Open Country Dairy Limited has been convicted and fined more than $35,000 for discharging objectionable odour from its Waharoa factory at the time of last year’s ”spring flush” when milk supply was high. More>>

Scoop Business: Dairy Product Prices Decline To Lowest Since July 2012

Dairy product prices dropped to the lowest level since July 2012 in the latest GlobalDairyTrade auction, led by a slump in rennet casein and butter milk powder. More>>

ALSO:

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news