Belluscura (BELL) is not only a leading developer of portable oxygen concentrators (POC) - a $1.63bn market that is predicted to expand at a 14.0% clip between 2022 and 2026 - but is also innovating in the capital markets.
Today the company said that it had conditionally agreed to purchase cash shell TMT Acquisitions (TMTA) in an all-stock deal for £6m - 18.75m of new shares – representing a 25% premium to TMT's’s 3 month average price. A £100k break fee has been agreed
In exchange, Belluscura will be able to access TMT’s £4.7m surplus cash (an effective subscription price of 25p a share) to help it commercialise its best-in-class POCs globally. The target is to become profitable and cashflow positive by the end of Q2 2024. This ambition is underpinned by both 6,500 of unit orders already received and another 3,500+ of lodged interest with a total value of $30m+ for its new cutting edge DISCOV-R device.
Elsewhere, the company has conditionally raised another £3.32m via a £0.6m placing at 32p and the issue of 3-year £2.72m 10% convertible loan notes at a conversion price of 40p. Assuming things go to plan, then together this would translate into £8m (or $9.8m) of extra funding.
Finally, current CFO Tony Dyer has decided to step down from the board and work on a part-time basis. The role has been relocated to the company's Dallas facility in the US, where incoming CFO Simon J. Neicheril will be based.
CEO Bob Rauker commented: "The addition of Simon will be welcome in the US where we continue to scale for the launch of DISCOV-R and expanded global distribution of the X-PLOR. Tony has been integral to the launch and early growth of Belluscura and I am delighted he is remaining with the company."
Belluscura targets £8m financing to power towards profitability
Oct 4, 2023Disclaimer & Declaration of Interest
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