BrainChip Holdings (ASX:BRN) issues call notice to LDA Capital
16 August 2021 09:30 (AEST)
Artificial intelligence (AI) processor technology company BrainChip Holdings (BRN) issues a capital call notice to LDA Capital for over 8.7 million shares
Last year, the global tech company entered a put option agreement with LDA to receive up to $29 million in equity capital
BrainChip will use the funds to support the commercialisation of its Akida technology
Additionally, the company is committed to draw down a minimum of $9.2 million by the end of October
BrainChip is down 1.87 per cent and is trading at 52.5 cents per share at 11:18 am AEST
BrainChip Holdings (BRN) has issued a capital call notice to LDA Capital for over 8.7 million shares.
A capital call is a legal right of an investment firm or an insurance firm to demand a portion of the money promised to it by an investor.
Last year, the global tech company entered a put option agreement with LDA to receive up to $29 million in equity capital.
BrainChip will use the funds to support the commercialisation of its Akida technology.
Additionally, the company is committed to draw down a minimum of $9.2 million by the end of October.
Founder and CEO, Peter van der Made, said the funds would be used to strengthen its balance sheet to support Akida technology.
"Proceeds will also be used to strengthen the sales and marketing team in anticipation of the launch of Akida later this year, as well as increased focus on customer engagement and investor relations activities in Australia, the US and Europe," he said.
BrainChip was down 1.87 per cent and is trading at 52.5 cents per share at 11:18 am AEST.
