Aurrigo International, a Coventry-based tech firm developing self-driving vehicles for the aviation industry, is looking to accelerate commercial sales timelines with a £5m injection.
The AIM-listed firm said it was looking to raise a minimum of £5m through a share sale to new institutional investors and an additional £0.3m through an offering to retail investors. In both cases, the new shares will be priced at 44p.
The company said it was seeking the additional capital to increase the production capacity of its Auto-DollyTug, an autonomous baggage and cargo tractor.
Aurrigo CEO David Keene told UKTN in September that he was expecting a surge in demand for its self-driving baggage carriers that would bring about a revenue jump of as much as 450%.
“Our analysis suggests there are more than 600 airports around the world where if we brought in our technology, it would have an effect on the business case. So there’s a massive market globally,” said Keene.
The funding will also be invested across its engineering, software development and deployment teams.
In its accounts for the first six months of the year, the company reported a 26% rise in revenues to £3.9m. Its turnover for its autonomous division increased by 60% to £0.8m.
Its results in the first half of 2024 were stronger than all of 2023, with a recent uptake of its airport solutions being credited.
Other products the firm develops for the aviation industry include a 3D digital twin product to visualise airport operations and the Auto-Shuttle, a ten-seat passenger vehicle with fully autonomous capabilities.
Shares in Aurrigo have seen a dramatic decline recently, dropping more than 40% from 77.5p in mid-October.
Aurrigo’s share price rose slightly on Thursday morning from 43p to 46.5p.