FBR Secures A$20 Million Share Subscription Facility with GEM Global Yield
FBR Limited has locked in a A$20 million share subscription facility with GEM Global Yield LLC, providing flexible capital to advance its innovative robotics platforms and commercialisation efforts.
- A$20 million Share Subscription Facility secured with GEM Global Yield LLC
- Funding supports Hadrian X® and DST® technology commercialisation
- Options issued to GEM exercisable at A$0.01 over three years
- Peak Asset Management appointed as corporate advisor
- Facility enables flexible drawdowns with shares issued at a discount
Strategic Funding Partnership
FBR Limited, an Australian robotics innovator, has entered into a significant financing agreement with GEM Global Yield LLC SCS, securing up to A$20 million through a Share Subscription Facility (SSF) over three years. This facility grants FBR the flexibility to draw down funds at its discretion by issuing new shares to GEM, providing a vital capital injection to support its ambitious growth and commercialisation plans.
Flexible Capital for Growth
The SSF allows FBR to request funding in tranches, with share issuance priced at a 10% discount to the volume-weighted average price (VWAP) over a 15-day trading period. This structure offers FBR a nimble funding mechanism without mandatory drawdown obligations, enabling the company to manage dilution and capital needs strategically. The facility also includes the issuance of options to GEM, exercisable at a nominal price, potentially impacting future share capital.
Backing Robotics Innovation
CEO Mark Pivac highlighted that the funding will accelerate the commercialisation of FBR’s flagship technologies, including the Hadrian X® bricklaying robot and the DST®-enabled welding robot Mantis™, targeting sectors from construction to shipbuilding. These projects aim to demonstrate the commercial viability of FBR’s robotics platform and transition the company toward sustainable operations. Additionally, the capital will support ongoing R&D to expand FBR’s intellectual property portfolio and address growing market opportunities.
Advisory and Market Positioning
To complement this funding milestone, FBR has appointed Peak Asset Management as its corporate advisor, signaling a strategic push to refine its capital management and investor relations. GEM, a global private equity group with a diverse investment portfolio, brings not only capital but also potential strategic support as FBR navigates its next phase of growth.
Looking Ahead
While the facility provides a robust financial foundation, the timing and scale of drawdowns remain at FBR’s discretion, leaving some uncertainty around immediate dilution and cash flow impact. Investors will be watching closely for updates on commercial milestones and share issuance activity as the company leverages this funding to unlock the potential of its robotics innovations.
Bottom Line?
FBR’s new funding facility sets the stage for pivotal commercial progress, but execution and capital management will be key to unlocking shareholder value.
Questions in the middle?
- When will FBR initiate its first drawdown under the new facility, and at what scale?
- How will the issuance of options to GEM impact FBR’s share capital and investor dilution over time?
- What are the near-term commercialisation milestones for Hadrian X® and Mantis™ that investors should monitor?
