Australian financial media are reporting that Archer Materials are looking for $15 million to develop its quantum computing chip and to expand into the U.S.
The Market Herald is reporting that the company will issue 10.3 million new shares at $1.45 per share, which represents a 16.4 percent less than its last closing price.
The investment will be used to fund the continued development of its CQ chip and lab-on-a-chip biochip technologies. According to reports, Archer also wants to further technological and commercial development in the U.S.
According to AFR, Archer will use Canaccord Genuity and Taylor Collison to raise the funds through the placement.
Additionally, Archer is also undertaking a $5 million share purchase plan (SPP).
Trading of the company — which is listed as AXE on ASX — was halted last week for the fund raise, according to The Market Herald.
Archer Co-founder and executive Chairman Greg English told the media he is pleased with the support for the placement.
“We thank our existing shareholders for their ongoing support and welcome a number of new, high-quality institutional investors to our register, supporting our journey towards developing the next generation of semiconductors that could spur breakthrough solutions like quantum computing,” English said.
Archer reported earlier this summer that it is making progress on its quantum computer chip, demonstrating on-chip control and achieved electronic transport of a single qubit. The company is increasingly all-in on quantum and other deep technologies. It sold several subsidiaries to concentrate on those areas, the company reporter earlier this year.