Vertical Aerospace Ltd. (EVTL), an aerospace and technology firm, announced on Thursday the successful pricing of its underwritten public offering, amounting to $90 million. Units, each priced at $6.00, are intended to bolster the research and development efforts for the VX4 project.
As of pre-market trading, the company's shares have experienced a decline of 31%.
The offering is slated for completion around January 24.
Proceeds from this offering are earmarked for the research and development of the VX4, enhancement of the company's testing and certification capabilities, and general corporate uses, including working capital.
Each unit comprises one ordinary share, half of a Tranche A warrant, and half of a Tranche B warrant.
The Tranche A warrants will expire upon the earlier of two events: the successful completion of a wing-borne flight of the VX4 prototype with certain share price conditions met within 30 days of disclosure, or five years from the date of issuance.
These Tranche A warrants can be exercised at a price of $6.00 per share. Meanwhile, Tranche B warrants, exercisable at $7.50 per share, will expire five years post-issuance.
In pre-market trading on the Nasdaq, Vertical Aerospace shares are down by 31.14%, settling at $6.39.
