Good Morning, In this fifth edition of Archer’s Newsletter for 2020, I am happy to be able to offer our shareholders the opportunity to participate in the Company’s Share Purchase Plan, as we seek to raise up to $3 million to fund the acceleration of our work programs and to start hiring additional staff to do this work.
We have decided to undertake an SPP rather than a broker sponsored placement as an SPP gives shareholders an opportunity to participate at a share price discount usually given to sophisticated and professional investors. The SPP is only available to Australian and New Zealand shareholders who were registered as Archer shareholders at 7:00pm (AEST) on Wednesday, 27 May 2020.
Our strategy is to build an industry-leading materials technology company. We have achieved a lot over the past year, and indeed the past few years, and we have continued this momentum into 2020 with our agreement with IBM to join the IBM Q Network as an ecosystem partner, which put Archer on the global stage.
In 2017 we completed an SPP at a share price of 7.5 cents per share and then completed a subsequent SPP in 2019 at a share price of 13 cents per share. The Archer closing share price on the last trading day prior to the SPP announcement was 68.5 cents per share. Our Company has no debt, and about $2.2 million in cash as of 31 March 2020.
The funds raised from the SPP will be used to grow the Company and accelerate our progress in:
- Development of the 12CQ qubit processor chip technology, as well as active collaboration with IBM to use Qiskit as the software stack for our processors and participation in the global IBM Q Network as an ecosystem partner.
- Prosecution of the human health biosensor patents and the hiring of new staff to expedite the development of this technology.
- Identifying and assessing new technologies for inclusion in the Reliable Energy business unit.
- Completion of the Franklyn halloysite pilot plant test work and resource drill out upon successful trials of the halloysite product by potential customers.
Eligible shareholders who selected to receive electronic communications from the Company, should have received an e-mail regarding the SPP Offer by now. Hardcopy SPP Offer Documents will be sent on Wednesday 3 June, to those who have not yet selected electronic communications as their preferred method of communication from the Company.
If for any reason you do not receive the email or mail, please note that the personalised SPP Application Forms have been uploaded to all eligible shareholders’ Computershare Investor Centre profiles and can be accessed by logging in or clicking on ‘Single Holding’ and following the instructions.
There is so much to look forward to at Archer in the year ahead, from both our Advanced Materials and Mineral Exploration developments and we look forward to updating you with exciting news in the coming editions.
And most of all, I want to thank you for your continued support.
Dr Mohammad Choucair, FRACI FRSN GAICD
Chief Executive Officer
Archer Materials Limited (ASX:AXE)
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