The proceeds from the rights issue was originally intended to be used for the company’s working capital purposes. However, Biolidics’ board of directors says the reallocation will enable the group to meet its debt obligations on a timely basis.
Biolidics (SGX:8YY
) has announced that it has entered into a second deed of partial settlement with Clearbridge BSA in relation to its acquisition of the entire issued and paid-up share capital of Biomedics Laboratory.
Consequently, the company also announced that it had reallocated $670,000 of the proceeds from its November 2022 rights issue to be used towards the repayment of bank borrowings and the deferred consideration of some $2.14 million owed to Clearbridge BSA.
