Traffic systems supplier Redflex (ASX:RDF) has successfully completed an institutional entitlement offer of $9.4 million, with strong support from existing eligible institutional shareholders.
The company’s retail entitlement offer which will open on 22 November 2017 is expected to raise approximately $7 million, bringing the total capital raise to $16.4 million.
The funds will be used to invest in the development of technology, new products and services.
The company said it has also identified a solid global sales pipeline for potential opportunities which the company will be in a position to pursue with the added finances.
The new fully paid ordinary shares of the institutional entitlement offer will be issued at the price of $0.44 per new share on 23 November 2017.
Shares in Redflex (ASX:RDF) is trading 8.88 per cent lower to 50 cents.