Cybersecurity firm Brandshield has raised gross proceeds of £1.5m from a placing of 10.71m new ordinary shares via an accelerated bookbuild process with an issue price of 14.0p per share.
Brandshield said on Friday that it had opted for the placing as part of an effort to make investments in sales and marketing efforts, convert its near-term extensive organic sales pipeline and fund ongoing software development to maintain its market-leading position.
The AIM-listed firm also will also issue a total of 5.35m warrants with an exercise price of 20.0p and an exercise period ending three years following admission to the placees.
Chief executive Yoav Keren said: “We achieved significant strides in 2021 both financially, as demonstrated in our significant increase in ARR, a key metric for the group, and operationally, with our market-leading solution central to our ongoing success.
“We believe this additional funding will enable us to execute on a number of near-term opportunities in our organic pipeline as well as transform our go-to-market strategy to generate sustained long-term growth.”
In terms of recent trading, Brandshield said it delivered $5.33m in annual recurring revenues, up 59% year-on-year, while deployments increased 69% to 130 and net retention was up from 86.2% at 96.4%.
As of 1035 GMT, Brandshield shares were down 8.20% at 14.0p.
