KERLINK ANNOUNCES THE SUCCESS OF ITS CAPITAL INCREASE FOR THE BENEFIT OF A
CATEGORY OF BENEFICIARIES OF EUR11 MILLION
This press release may not be published, distributed or disseminated either
directly or indirectly in the United States of America, Australia, Canada or
Thorigné-Fouillard, 30 April 2021, 7:30am.
Thorigné-Fouillard, Kerlink (AKLK - FR0013156007), a specialist in networks
and solutions for the Internet of Things (IoT), announces today the success of
its capital increase with cancellation of preferential subscription rights for
the benefit of a category of beneficiaries, launched the evening before through
an accelerated bookbuild. Given the strong demand, Kerlink decided to set the
final amount of the capital increase at EUR11 million, vs. around EUR8 million
William Gouesbet, Chairman and Chief Executive Officer and co-founder of
Kerlink, comments: "I would like to thank all the new investors who
participated in this capital increase as well as all of our long-standing
shareholders who continue to support the company. This capital increase will
allow us to take full advantage of the market opportunities currently available
to us. Thanks to the success of the fundraising, we will be able to ensure
production of our new range of gateways compatible with the HELIUM network, one
of the world's first peer-to-peer IoT networks currently in roll-out phase. The
transaction will also allow us to strengthen our supply capacities to support
the expected increase in new orders, resulting from our strategy to shift
towards private operators. Furthermore, we will be able to accelerate the
marketing of our equipment rental and services offer, to the benefit of growth
in our recurring revenues. The execution of these priority actions therefore
opens up new development prospects for the company, supported by all of our
teams in France and abroad."
Allocation of the funds
The funds raised will notably enable Kerlink to accelerate the development of a
new connectivity range fully compatible with the specifications of US company
Helium for a market launch that could take place in the fourth quarter of 2021,
in connection with the distribution partnership set up in 2020 with Cal-Chip
The roll-out of the global IoT network "The People's Network" launched by
Helium will provide public, long-range and low-energy wireless coverage, thanks
to Helium's LongFi(tm) technology, which combines the LoRaWAN(r) wireless
protocol with Helium's blockchain technology, allowing any LoRaWAN(r) sensor to
transfer data via the new network. By creating its blockchain, the Helium
network has decentralised IoT network coverage, paving the way for the
deployment of a global open wireless network, capable of combining various
LoRaWAN(r) gateways, that is cost-effective and available worldwide.
The capital increase will also help secure purchases of electronic components
that are considered strategic in a global context of tensions in supply times.
This strengthening of purchasing capacity should support the expected growth in
order intake already initiated in the first quarter.
Lastly, the transaction should enable an acceleration of the roll-out of the
NaaS (Network as a Service) offering, including both leasing infrastructure
equipment and network administration services, the goal of which is to increase
Main features of the capital increase
Kerlink issued 2 292 000 new shares at the unit price of EUR4.80, including the
issue premium, i.e. a EUR0.27 face value and an issue premium of EUR4.53, for a
gross total amount of EUR11,001,600, representing 45.06% of Kerlink's share
capital, on a non-diluted basis, before the capital increase, or an overall
dilution rate of 31.06%.
The capital increase was carried out with cancellation of preferential
subscription rights for the benefit of a category of beneficiaries, French and
international qualified investors, in accordance with the delegation of
authority granted by the 10th resolution of the Combined General Meeting of
Shareholders of 22 June 2020.
The subscription price of the new shares was set at EUR4,80 per new share. This
price, established under the conditions provided for in the 10th resolution
referred to above and in accordance with the decisions of the Board of
Directors meeting of 28 April 2021, shows a discount of 12.25% to the average,
weighted by the volumes of the Kerlink share on the Euronext Growth Paris
market, of the prices of the last five (5) trading sessions prior to its
establishment (i.e. from 23 April to 29 April 2021), or EUR5.28, and a discount
of 12.2% to the closing price of the Kerlink share at 29 April 2021, or
Impact of the capital increase on the capital structure
Following the settlement/delivery, Kerlink's share capital will be increased
from EUR1.373.248,08 to EUR1,992,088.08, divided into 7,378,104 shares with a
face value of EUR0.27 each.
To Kerlink's best knowledge, the shareholder structure before and after
completion of the transaction is as follows:
Before the issuance of New Shares
% of Number % of
Number of capital of voting capital
Shareholders shares stock rights stock
Based on the post-transaction share capital, the stake of a shareholder who
held 1% of the Company's share capital prior to the capital increase and did
not subscribed to it would now be 0.69%.
Admission of the new shares to trading
The new shares will bear current dividend rights and will be admitted to
trading on the Euronext Growth market in Paris under the same ISIN code
FR0013156007- AKLK. They shall be subject to all provisions of the articles of
association and shall be equivalent to existing shares upon completion of the
capital increase. The settlement/delivery of the new shares and their admission
to trading on the Euronext Growth Paris market are scheduled for 4 May 2021.
The information provided in this press release stems from the placement of the
shares as part of an accelerated book building process, which is now closed,
but remains conditional on the proper execution of the settlement/delivery
Pursuant to the provisions of Article 1(4) of (EU) Regulation 2017/1129 of the
European Parliament and of the Council of 14 June 2017, the transaction has not
and will not require the issue of a prospectus subject to the approval of the
French financial markets authority (Autorité des marchés financiers - AMF).
Kerlink Group is a leading global provider of connectivity solutions for
designing, launching, and operating public & private Internet of Things
networks. Its comprehensive product portfolio includes industrial-grade network
equipment, best-of-breed network core, operations and management software,
value-added applications and expert professional services, backed by strong R&D
capabilities. Kerlink specializes in enabling future-proof intelligent IoT
connectivity for three major domains: Smart Cities - metering, parking, street
lighting, waste management, air quality & pollution, building & facilities,
assets monitoring... Smart Industries - fleet & asset tracking, energy &
utilities, oil, gas & mining, airports, harbors, infrastructure, manufacturing,
retail... and Smart Territories - precision agriculture, environment protection
and rural towns & areas. More than 120,000 Kerlink installations have been
rolled out with more than 330 clients in 69 countries. Based in France, with
subsidiaries in the US, Singapore, India, and Japan, Kerlink is a co-founder
and board member of the LoRa Alliance(r) and the uCIFI Alliance(tm). It is
listed on Euronext Growth Paris under the symbol ALKLK.
For more information, visit www.kerlink.com or follow us on Twitter
First Half Year Revenue: July 22, 2021, after market close
This press release and the information it contains does not constitute an offer
to sell or subscribe or an invitation to place an order to purchase or
subscribe KERLINK's shares in any country.
This press release constitutes promotional communication and is not a
prospectus within the meaning of Regulation (EU) 2017/1129 of the European
Parliament and of the Council of 14 June 2017 (the "Prospectus Regulation").
In the Member States of the European Economic Area, this press release and any
offers that may follow it are intended exclusively for "qualified investors"
within the meaning of Article 2(e) of the Prospectus Regulation.
This press release does not constitute an offer to sell securities or any
solicitation of an offer to buy or subscribe securities in the United States of
America. Shares and any other securities issued by KERLINK may only be offered
or sold in the United States of America following registration under the US
Securities Act of 1933, as amended (the "Securities Act"), or pursuant to an
exemption from this registration requirement, on the understanding that
KERLINK's shares have not been and will not be registered under the US
Securities Act. KERLINK does not intend to register the offer in whole or in
part in the United States of America or make a public offering in the United
States of America.
With respect to the United Kingdom, the press release is intended solely for
persons located (x) outside the United Kingdom or (y) in the United Kingdom who
are "qualified investors" (as that term is defined in the Prospectus
Regulation, which is part of domestic law in application of the European Union
(Withdrawal) Act 2018), and who (i) are investment professionals within the
meaning of section 19(5) of the Financial Services and Markets Act 2000
(Financial Promotion) Order 2005, as amended (the "Financial Promotion Order"),
(ii) are referred to in section 49 (2)(a) to (d) ("high net worth companies,
unincorporated associations etc.") of the Financial Promotion Order, or (iii)
are persons to whom an invitation or inducement to participate in investment
activities (within the meaning of section 21 of the Financial Services and
Markets Act 2000) may be lawfully communicated or transmitted (the persons
mentioned in paragraphs (y)(i), (y)(ii) and (y)(iii) together being referred to
as the "Authorised Persons"). This press release is intended solely for
Authorised Persons and may not be used by any person other than an Authorised
This press release contains indications of KERLINK's objectives as well as
forward-looking statements. This information does not constitute historical
data and should not be interpreted as a guarantee that the facts and data
stated will materialise. This information is based on data, assumptions and
estimates considered reasonable by KERLINK. KERLINK operates in a competitive
and rapidly changing environment. It is therefore not in a position to
anticipate all the risks, uncertainties and other factors that could affect its
business, their potential impact on its business or to what extent the
materialisation of a risk or a combination of risks could cause results to
differ significantly from those mentioned in any forward-looking statements.
This information is given only as at the date of this press release. KERLINK
makes no undertaking to publish updates of this information or the assumptions
on which it is based, except as required under any applicable legal or
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This press release may not be published, transmitted or distributed, directly
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