London-listed Two Shields Investments (AIM:TSI) has raised a conditional £1.4m, of which the majority will be invested into portfolio company, BrandShield.
The investment group told investors that it had raised the sum via a placing of 1.4bn shares at 0.1p from both existing and new shareholders, undertaken by the company’s newly appointed joint broker, Optiva Securities.
Up to $1m will be invested in brand protection firm, BrandShield, of which TSI has an 11.34% shareholding, as was announced on 5 November 2019.
“The anticipated investment in BrandShield will support our plans for continued penetration in to the rapidly growing market we are active in,” said CEO and Founder of BrandShield, Yoav Keren.
TSI previously invested $300,000 into BrandShield on 29 March 2019 and $500,000 on 5 November 2019 via a convertible loan.
Shares in Two Shields Investments were trading flat at 0.102p on Monday morning.
Pursuant to the convertible loan, the company received the right to further invest $1m in BrandShield within a period of 9 months from 5 November 2019 under the same terms, as outlined in this morning's statement.
Should the existing $800,000 and proposed $1,000,000 of convertible loan convert into equity, TSI's holding in BrandShield will increase to approximately 20.5%, the statement added.
"This fundraising will enable TSI, in line with our strategy, to take advantage of the investment opportunity that still exists on the same terms as previous subscriptions by the Company,” said Chairman of TSI, Andrew Lawley.
Lawley added that “excellent growth” in BrandShield meant the investment was on “attractive terms” for the company’s shareholders.
A circular and notice of meeting is underway and is expected to be published in the week commencing 3 February 2020, the statement added.
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