31st Jan 2022 11:31
(Alliance News) - Shares in Omega Diagnostics Group PLC on Monday dropped as the company confirmed that it entered discussions with investors and shareholders regarding a potential equity fundraising.
Shares in the Alva, Scotland-based company were down 24% at 8.12 pence each on Monday morning in London.
The medical diagnostics firm explained that due to the challenging market conditions any issue of equity would be at a discount to the current share price.
It continued that any fundraise would also include an open offer to accommodate retail investors.
Nonetheless, it affirmed that as of January 19, the company still has "significant" cash resources.
Therefore, Omega sees no "immediate need" to raise additional capital.
As a result, the company may choose not to proceed with the equity fundraise until the need arises, considering that conditions are more favourable at the moment.
By Abby Amoakuh; [email protected]
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