Placement to Strategic Technology Investor
Perth, Nov 10, 2015 AEST (ABN Newswire) - Further to the ASX release of 23 October 2015 in relation to the proposed acquisition by Raya Group Ltd (
ASX:RYG) ("Raya" or "the Company") of Xped Holdings Ltd ( Xped) , Raya is pleased to announce that it has completed a private placement to an Asia based strategic technology investor raising $600,000.
"The Company has been inundated with interest by a number of highly reputable groups offering to assist the Company with its future funding requirements. This is testament to Xped's technology and its robust patents that are securing its position in the lucrative Internet of Things (IoT) sector", the Company's chairman Mr Athan Lekkas said.
Placement
The Company will issue 30,000,000 shares at a price of 2c per ordinary share and proceeds will be applied in meeting usual due diligence, transaction and other costs associated with completion of the acquisition of Xped.
The investor has agreed that of the placement, 15 million shares will be subject to voluntary escrow restrictions. The escrow provision on these shares will remain in place until the completion by the Company of the purchase of Xped and compliance by Raya with chapters 1 & 2 of the ASX Listing Rules, expected in the latter part of Q1 in 2016. (Readmission Date).
Additionally, subject to obtaining shareholder approval for the Xped transaction and as part of the strategic relationship, Raya has agreed to issue a further 10,000,000 shares for no additional consideration to the strategic investor. The investor has agreed that these further shares will be subject to escrow for a 24 month period from the Readmission Date. Importantly, these shares will only be issued upon the successful completion of the Xped transaction and the recompliance with chapters 1 & 2 of the ASX Listing Rules.
Raya continues to progress the acquisition of Xped and work is advancing on the preparation of both the meeting materials to consider approval of the acquisition and the prospectus. It is the intention of the Company that the existing shareholders will be afforded a priority entitlement in respect of participation in any contemplated raising under a prospectus. Raya will provide further details over the coming weeks.
About XPED Ltd
XPED Ltd (ASX:XPE) is an Australian Internet of Things (“IoT”) technology business. Xped has developed revolutionary and patent-protected technology that allows any consumer, regardless of their technical capability, to connect, monitor and control devices and appliances found in our everyday environment. Xped provides technology solutions for Smart Home, Smart Building, and Healthcare.
At Xped, we’re Making Technology Easy Again(TM)
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