TruScreen Share Purchase Plan Exceeds Target

TruScreen Share Purchase Plan Exceeds Target

Kiwi cancer diagnostic company TruScreen (TRU) has surpassed its target of $1million of capital to be raised via a Share Purchase Plan (SPP) for New Zealand resident shareholders.

TruScreen, a New Zealand listed company which has developed a unique screening system for cervical cancer, closed its Share Purchase Plan on 26 June, 2015 with the company electing to accept oversubscriptions due to its popularity.

The successful capital-raising program follows a previous private placement to institutional and professional investors, which was also oversubscribed and netted a total of $3.27 million.

The total amount of capital raised in the SPP was $1,561,000, with a total of 6,244,000 shares allocated to successful applicants, who were able to increase their investment by up to 60,000 shares, or a maximum of $15,000 (at 25 cents per share).The acceptance of oversubscriptions means all shareholders will receive the full amount of shares they applied for and there will be no scaling of applications.

The private placement saw the issue of 13,080,000 shares at 25 cents per share (the same price as offered in the SPP).

In total, the company has raised $4,831,000 via the two programs and will use the funds to support international export growth by increasing inventory of the TruScreen device; developing next generation diagnostic technology; and supporting clinical trials of the technology in key markets such as China and South-East Asia.

TruScreen CEO Martin Dillon says the results of the SPP following on from the private placement is very rewarding from both an investor relations perspective, and also from a commercial and operational perspective. “We view these two capital raising initiatives as a dual validation of our commercial strategy by both our institutional and retail investors,” he says.

“The new capital raised from these initiatives gives us the ability to continue our expansion of the commercial operations of TruScreen, and build on the extensive success we have had in the past year with our international growth.”

Holder Statements for the new shares issued pursuant to the SPP are expected to be mailed out on Friday 3 July.

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