SSH aims to raise $4.3m for Bio-Layer

Sydney-based SSH Medical (ASX:SSH) has started accepting applications for subscriptions to raise approximately $4.3 million to provide working capital for material science company Bio-Layer, which SSH is acquiring.

Bio-Layer is developing biological surface-coating technology, with an initial focus on immunoassays and diagnostic tests.

SSH is currently receiving negligible commercial returns from its VedaScope business and will divest its MediStation operations as part of the overall transaction.

SSH will issue 15.2 million shares at AUD$0.28 and 7.6 million listed, tradable options will also be issued, free of charge, on a one for two basis. The prospectus was released on September 8.

The offer is being sponsored by EG Capital and is being made to SSH's existing 2,300 shareholders, clients of EG Capital and selected brokers. Prior to the capital raising, SSH anticipates undertaking a 10 for 1 share consolidation.