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Veem Ltd (ASX:VEE)

ALERT: Price-sensitive ASX Announcement for VEE
Current share price for VEE : $0.590 -0.92 (-60.93%)+
Announcement
Release
30 Sep 2025 9:52AM
Price at Release
$1.510
Full Release
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Summary
VEEM Ltd has executed a capital raise of $14 million at a placement price of $1.30 per share to bolster its balance sheet and advance defence opportunities. The funds will support VEEM's expansion into the US defence market through agreements with Northrop Grumman and Huntington Ingalls Industries, positioning VEEM as a key supplier for the Virginia Class Submarine Program. Significant shareholders include the Miocevich family and Perennial Value Management. Anticipated revenue growth in the latter half of FY26 is attributed to these strategic defence contracts and ongoing facility expansions.
Key Points
  • VEEM Ltd has successfully completed a capital raising of $14 million through a placement to institutional and sophisticated investors.
  • The placement price was set at $1.30 per share, representing discounts to the last closing price, 5-day VWAP, and 10-day VWAP.
  • Significant shareholder participation includes the Miocevich family and Perennial Value Management subscribing for substantial shares.
  • Funds from the capital raising are intended for advancing defence opportunities, working capital, and strengthening the balance sheet.
  • VEEM Ltd has entered the US defence market by signing a manufacturing license agreement with Northrop Grumman and achieving Level 1 supplier status with Huntington Ingalls Industries.
  • VEEM is positioned to supply precision castings for the Virginia Class Submarine Program in the US.
  • The company anticipates revenue acceleration in the second half of FY26 due to its defence contracts.
  • VEEM is expanding its facility and increasing its production capacity to meet growing demand.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.