Syft Technologies - Rights Issue
Syft Technologies announces intention to undertake a Rights Issue and issue a Prospectus & Investment Statement
News release, 20 November 2008, Syft Technologies Limited, Christchurch, New Zealand
Christchurch-based Syft Technologies Limited (Syft) today announced that it intends issuing a Prospectus to existing shareholders for a Rights Issue to raise capital, in order to realise the market potential of its Selected Ion Flow Tube Mass Spectrometry (SIFT-MS) technology.
Syft’s chairman, Hon Ruth Richardson says, “Syft is poised to enter the next stage of its growth. Having proven the technology and subsequently developed customer solutions across a number of sectors, the Company is now seeking the capital necessary to accelerate its revenue growth and realise the full commercial potential of this innovative technology.”
“A feature of the Annual Meeting on 24 September was the strong and spirited insistence from shareholders that they have an opportunity to participate in the capital raising. As a result, the Board has decided to invite shareholders to participate in a Rights Issue and will shortly issue a prospectus and investment statement.”
The proceeds raised will be applied to expanding the Company’s sales force, including a full, in-market presence in the USA and additional customer support, funding the continuing development of new products and market applications, providing working capital to meeting an anticipated growth in orders, seeding the market with its latest range of instruments and extending and protecting the Company’s intellectual property.
While the technology has a number of commercial applications, the Company is currently targeting four sectors: Container Security; Medical; Food and Flavour; and Oil and Gas Exploration.
“Syft is now at the stage where it has begun full production of a product that has been selling in and accepted by the market place. We now seek the capital required to realise the commercial potential of this ground breaking technology,” Ruth Richardson said.
No money is currently being sought and no applications for securities will be accepted or money received unless the subscriber has received an investment statement.
Syft Technologies Background
Syft Technologies Ltd (www.syft.com) was formed in 2002 as a hi-tech spin off from the University of Canterbury, New Zealand. Its head office and Research and Development centre is based in Christchurch, New Zealand. Syft Technologies (UK) Ltd based in Daresbury, UK is home to its European Sales and Support Centre. Syft Technologies Inc, in Pittsburgh, PA is home to the N American Sales operation.
The Company’s SIFT–MS technology has commercial application across a number of sectors including: Container Security; Medical; Food and Flavour; and Oil and Gas Exploration.
To date commercial success has been achieved in the Container handling sector supplying initial units and making subsequent multi-unit sales to the Australian and Canadian customs services. They use the technology as a health and safety tool, scanning containers prior to customs inspection for the presence of toxic fumigants. The ability to extend the analysis to detect other chemicals of interest, including chemical warfare agents and contraband may be of additional interest to these government agencies.
A second key application for the technology is for the non-invasive diagnosis of diseases based on the measurement of chemicals in human breath. The technology has some unique advantages that enable it to provide a superior breath-based diagnosis to any competing technologies. The Company earned the coveted ISO 13485 compliance earlier this year and is working towards achieving US Food and Drug Administration (FDA) 510k clearance in 2009. Following successful clinical trial experience gained in New Zealand and with major USA medical research groups committed to adopting the technology for their own research activities, the Company has now expanded its horizons for working with a significant European based multinational. In addition the prestigious US based Cleveland Clinic has recently taken delivery of one of the company’s instruments.
The Food and Flavour sector is a new space for the technology which could have multiple applications for food producers. Syft has sales agreements in place and several USA and EU based Food giants presently trialling its Voice200 instrument.
The fourth sector is Oil and Gas Exploration, with three of the four largest exploration companies showing interest in trialling the technology. Syft’s sales and marketing teams are working closely with industry leaders to establish the critical requirements for the applications of most interest to oil and gas exploration.