Placing to raise £230,000
Summary by AI BETAClose X
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the UK version of the Market Abuse Regulation (EU) No. 596/2014 ("MAR"). With the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO AUSTRALIA, NEW ZEALAND, CANADA, JAPAN, THE REPUBLIC OF SOUTH AFRICA OR ANY OTHER JURISDICTION WHERE SUCH ACTION WOULD BE UNLAWFUL.
THIS ANNOUNCEMENT DOES NOT CONSTITUTE AN OFFER TO BUY, ACQUIRE OR SUBSCRIBE FOR ORDINARY SHARES TO ANY PERSON WITH A REGISTERED ADDRESS IN, LOCATED IN, OR WHO IS A RESIDENT OF, THE UNITED STATES, AUSTRALIA, NEW ZEALAND, CANADA, JAPAN OR THE REPUBLIC OF SOUTH AFRICA OR IN ANY OTHER JURISDICTION IN WHICH SUCH OFFER, SOLICITATION OR SALE WOULD BE UNLAWFUL OR CONTRAVENE ANY REGISTRATION OR QUALIFICATION REQUIREMENTS UNDER THE SECURITIES LAWS OF ANY SUCH JURISDICTION.
19 February 2026
Ethernity Networks Limited
("Ethernity" or the "Company")
Placing
Ethernity Networks Limited (AIM: ENET.L; OTCMKTS: ENETF), a leading supplier of data processing and PON semiconductor technology for networking appliances, is pleased to announce a proposed placing of 5,750,000,000 new ordinary shares of no par value ("Placing Shares") at an issue price of £0.00004 (0.004p) per share (the "Placing Price") to raise £230,000 (approximately US$315,000) before expenses (the "Placing").
This Placing is in addition to the £367,500 fundraising announced on 2 February 2026 (the "2 February Placing"), bringing the total gross proceeds from both recent placings to £597,500 before expenses.
The Placing has been conducted on the same terms as the 2 February Placing. As a result, it is intended that participants in the Placing will receive one warrant for every Placing Share subscribed for, exercisable at the Placing Price for a period of 12 months from the date of grant (the "Warrants"), with an acceleration clause that would be triggered should the Company's share price reach 0.006 pence.
The grant of the Warrants is conditional on the passing of resolutions at the Company's upcoming extraordinary general meeting ("EGM"), being held on 18 March 2026, to seek approval for an increase in the Company's authorities to issue and allot new ordinary shares of no par value ("Ordinary Shares").
The Placing is being undertaken by ALBR Capital Limited ("AlbR").
Use of Proceeds
The net proceeds will, together with the proceeds of the 2 February Placing, be utilised for general working capital purposes and to accelerate development of the Company's next-generation 400Gbps Traffic Manager Engine, with additional resources supplementing those already allocated to the expanded engagement in place with the Company's Tier-1 U.S. defense customer and other current customer programmes.
Details of the Placing
The Company has conditionally raised £230,000 (before expenses) through the issue of 5,750,000,000 Placing Shares at the Placing Price of 0.004 pence per share, utilising the Company's existing authorities to issue new Ordinary Shares on a non-pre-emptive basis.
The Placing Price represents a 21.5% discount to the closing mid-market price of an Ordinary Share on 18 February 2026.
Warrants
Conditional on the passing of the relevant resolutions at the EGM, participants in this Placing will be issued on Warrant for each Placing Share subscribed for, resulting in the issue of 5,750,000,000 Warrants. These are in addition to the 9,187,500,000 warrants over Ordinary Shares issued in connection with the 2 February Placing. The Warrants will be exercisable at 0.004p for a period of 12 months from the date of grant. They will not be transferable and will not be traded on an exchange.
The Warrants will contain an acceleration clause enabling the Company to serve notice ("Notice") if the closing mid-market share price trades at 0.006p or more for five consecutive trading days. In the event the Company serves Notice, any Warrants not exercised within seven calendar days of such Notice will lapse.
If exercised in full, the Warrants would provide an additional £230,000 of gross proceeds to the Company and, should the proposed warrants to be issued in connection with the 2 February Placing also be exercised in full, together the exercise of warrants issued for the two placings would generate a total of £597,500 (approximately US$815,000) of gross proceeds for the Company.
Admission to Trading
Application will be made for the 5,750,000,000 Placing Shares to be admitted to trading on AIM ("Admission"). Admission is expected to occur at 8.00 a.m. on or around 25 February 2026.
Total Voting Rights
Following Admission, the Company's enlarged issued share capital will comprise 24,969,328,493 Ordinary Shares. The Company holds no shares in treasury. This figure may be used by shareholders for the purposes of the FCA's Disclosure Guidance and Transparency Rules.
David Levi, Chief Executive Officer, commented: "Following the successful fundraising announced on 2 February 2026, the directors have agreed to accept additional funding to further support the Company's recovery and growth plans. This incremental Placing strengthens our ability to accelerate development of our next-generation 400Gbps Traffic Manager, which is expected to further support the Company's growth."
For further information, please contact:
|
Ethernity Networks Ltd |
Tel: +972 3 748 9846 |
|
David Levi, CEO Tomer Assis, CFO
|
|
|
Allenby Capital Limited (Nominated Adviser and Joint Broker) |
Tel: +44 (0)20 3328 5656 |
|
James Reeve / Piers Shimwell (Corporate Finance) Amrit Nahal (Sales & Broking)
|
|
|
ALBR Capital Limited (Joint Broker) |
Tel: +44 (0)20 7562 0930 |
|
Lucy Williams / Duncan Vasey
|
|
|
CMC Markets UK plc (Joint Broker) |
Tel: +44 (0)20 3003 8632 |
|
Douglas Crippen |
|
About Ethernity Networks
Ethernity Networks (AIM: ENET.L; OTCMKTS: ENETF) provides innovative networking and security solutions on programmable hardware, enhancing telco/cloud infrastructure capacity. Its semiconductor logic enables advanced data processing for networking applications, alongside patented wireless access and fiber media controllers. Ethernity's solutions accelerate time-to-market and support the deployment of 5G over wireless and fiber infrastructure.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
Latest directors dealings
- 11 hours ago Johnson Matthey
- 12 hours ago Galliford Try
- 12 hours ago Galliford Try
- 12 hours ago Centrica
- 13 hours ago Smith & Nephew