Key details of Traffic Technologies' entitlement offer

Traffic Technologies (ASX:TTI) has unveiled a non-renounceable pro-rata entitlement offer for new shares. Shareholders can subscribe on a 1-for-2 basis, aiming to raise $2.8 million at $0.005 per share. Each new share comes with a free attaching option, exercisable at $0.01, expiring in 24 months.

Comprehensive summary of TTI's strategic offer

Traffic Technologies is launching a non-renounceable entitlement offer to boost working capital and manage infrastructure demand. Eligible shareholders in Australia, New Zealand, Hong Kong, and the UK can participate by subscribing to new shares on a 1-for-2 basis, each accompanied by a free option. The initiative seeks to raise $2.8 million, with the new options priced at $0.01 and valid for two years. The company plans to use the proceeds to enhance its service capabilities, addressing revenue challenges from capital constraints. Traffic Technologies is committed to restructuring financial facilities and expanding its order capacity.

Executive insights on the entitlement offer

The primary aim of the entitlement offer is to provide additional working capital to increase orders for new equipment and materials, thus enabling the company to better service its customer base.