WANdisco has successfully completed its £24m fundraise as it attempts to recover from a financial scandal that has seen it suspended from trading on AIM.
The company added that it expects trading in its shares to resume on Friday, July 7 and will release its FY22 annual report this week. A preliminary report on unaudited results indicated an EBITDA loss of $30.3m (£24m).
The Sheffield firm was unable to offer new shares to retail investors due to regulatory restrictions, but said it had received “strong support” from many of its largest existing shareholders prior to the fundraise.
Global Frontier Investments subscribed for 4.2m shares while Davis Capital Partners subscribed for 5.5m shares. Both were existing shareholders in the company.
Listed WANdisco was forced to write off over $115m in sales bookings after uncovering “potentially fraudulent irregularities” on its books in March. An independent investigation linked the suspected fraud to a single senior employee.
Its shares were suspended and it warned it only had enough capital to last until around mid-July.
Since then the firm has been considering a range of funding options to recapitalise the business and return it to trading on AIM.
It has also embarked on a cost-cutting drive to attempt to counter the damage. It slashed its headcount by 30 per cent earlier this month and has reduced its annual cost base by around $16m.
