Kraken Robotics of St. John’s has just raised $10 million in a private placement with lead underwriter Canaccord Genuity Corp., the company announced in a news release Friday.
Cannacord gets 15 million shares at a price of 67 cents a share and can buy another 2.25 million shares at the same price within 30 days of the closing date. The deal is expected to close Oct. 26.
The Newfoundland company has made headlines several times in 2020. Earlier this year it signed its biggest deal to date, a $40-million contract to supply sonar technology to the Danish Navy.
Kraken said in the news release it will use the proceeds to expand its robotics as a service business, on leasehold improvements, equipment, parts and inventory and possible future acquisitions.
Kraken, which trades on the TSX Venture Exchange under the symbol PNG.V, was down 10 cents to 70 cents a share on the news in mid-afternoon trading..
