Tern plc (LSE:TERN) has announced the results of its latest open offer to qualifying shareholders, revealing that valid applications were received for approximately 67.7 million new ordinary shares, representing around 63% of the 107.3 million shares made available under the offer.
Subject to shareholder approval at an upcoming general meeting and admission of the new shares to AIM trading, the fundraising is expected to generate roughly £406,000. Trading in the newly issued shares is anticipated to commence on 11 May 2026.
Board and Management Participation Signals Confidence
The company said members of the board and senior management team are participating in the fundraising. Interim Non-Executive Chair Iain Ross and PDMR Albert Sisto both subscribed for additional shares, modestly increasing their holdings in the business.
Management participation in the raise may be interpreted as a sign of confidence in Tern’s strategy and supports the company’s efforts to secure additional funding for ongoing operations and investments across its Internet of Things-focused portfolio.
Weak Financial Performance Continues to Pressure Outlook
Tern’s outlook remains heavily constrained by weak financial performance, including a sharp decline in revenue, substantial losses and negative operating and free cash flow. Technical indicators also continue to point toward a prolonged downtrend, although some tentative signs of oversold stabilisation have emerged.
Valuation metrics remain difficult to justify given the company’s negative earnings profile and the absence of dividend yield data.
More about Tern plc
Tern plc is an AIM-listed investment company focused on building value through investments in Internet of Things technology businesses. The company targets both early-stage and growth-oriented IoT ventures, seeking to support their development through strategic investment and active portfolio management with the goal of enhancing shareholder returns.
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