ASX-listed Kleos Space (ASX: KSS) has secured A$12.6 million from new and existing institutional and sophisticated investors in Australia and the United States to fund the launch of future satellite clusters and scale its geolocation intelligence data-as-a-service offering.
The Placement at A$0.85 per CHESS Depository Interest (CDI) represented a 9.6% discount to the 30-day volume weighted average trading price and includes three attaching options for every five CDIs issued, exercisable at A$1.20 and expiring three years from the date of issue.
Kleos CEO Andy Bowyer said, “I am extremely pleased to welcome new high-calibre institutional investors Perennial and Thorney to the register. The strong support we have received from new and current investors reflects Kleos’ significant technical and commercial progress that is accelerating rapidly.”
Kleos’ satellites geolocate radio frequency signals to improve the detection of illegal activity such as drug and people smuggling, border security challenges and illegal fishing. Evaluation data from Kleos’ first satellite cluster, the Scouting Mission, is being delivered to 48 early adopter customers while its Polar Vigilance Mission satellites are progressing through in-orbit commissioning. The Polar Vigilance Mission is designed to deliver twice the data collection capacity of the Scouting Mission satellites.
The company’s third satellite cluster, the Polar Patrol Mission, are currently being built ahead of a late 2021 launch with SpaceX. These satellites will have twice the payload capability of the Scouting and Polar Vigilance satellites.
In an update to the ASX, Kleos said it continues to build commercial traction for its geolocation intelligence data and has more than 170 qualified leads across Government, systems integrators, and resellers. Kleos is also scaling its UK, Luxembourg and Denver operations to meet growing customer demand while maintaining operational expenditure to drive profitability.