31st March 2015
CloudTag, the developer of wearable technology devices, announces that it has conditionally raised £450,000 (before expenses) through the placing of 5,625,000 new Ordinary Shares of 0.1pence each at a placing price of 8 pence per Ordinary Share (the “Placing Shares”) with certain existing investors (the “Placing”). Each Placing Share has a warrant attached to it which entitles the subscriber to subscribe for one new Ordinary Share at 8 pence per share, such warrant to vest immediately on completion of the Placing and to expire on the third anniversary of vesting (the “Warrants”).
The Placing and the issue of the Warrants, is conditional, among other things, on the Company obtaining approval from Shareholders to their allotment and associated disapplication of pre-emption rights at the Company’s Annual General Meeting to be held at 11:00 am on 23 April 2014 at the offices of Fladgate LLP, 16 Great Queen Street, London WC2B 5DG (the “AGM”).
The net proceeds of the Placing will be used by the Group to further accelerate the development of the Company’s business and for general working capital purposes. A full review of the Company’s activities to date and strategy going forward, including various product launch dates, is outlined in the Chairman’s statement in the Company’s 2013 Annual Report and Accounts (the “Accounts”), which were published earlier today.
The Accounts contain a notice convening the AGM to approve certain matters relating to the Placing and normal AGM business, and will be posted to shareholders shortly. The Accounts will also be made available to view on the Company’s website (www.cloudtag.com) this afternoon.
Andy Jackson, CEO, commented:
“‘CloudTag has several exciting new product launches planned in both quarter two and quarter three of this year and the Placing allows us to further develop and enhance our current offering. Our ‘app’ launch in quarter two will now be supported by enhanced marketing and sales activity as well as additional cutting edge ‘premium content’ through our sports and fitness partners”.