Etherstack Raises $6.1M via Institutional Placement at $0.65 per CDI

Capital Raise Strengthens Etherstack's Position

Etherstack plc (ASX, ESK), a specialist in critical wireless communications technology, has announced a successful institutional placement raising $6.1 million. The placement was conducted at $0.65 per CHESS Depositary Interest (CDI), representing a 9.7% increase in the company's issued capital through the issuance of approximately 9.38 million new CDIs.

This capital injection comes at a pivotal time for Etherstack, enabling the company to bolster its balance sheet and provide the financial flexibility needed to pursue its evolving strategic objectives. The placement attracted strong support from institutional and high-net-worth investors, signaling confidence in Etherstack’s growth trajectory and technology roadmap.

Funding Growth and Innovation

The proceeds from the placement are earmarked to accelerate the deployment of the Home project, a critical market communications initiative announced in October 2025. This project is expected to enhance Etherstack’s footprint in the public safety and critical communications sectors, which demand reliable and standards-compliant wireless solutions.

In addition, the funds will support further intellectual property development of Etherstack’s MCPTX IWF product. This offering is designed to be compliant with 3GPP standards, positioning the company to capitalize on global demand for advanced public network safety communications. The investment in IP development underscores Etherstack’s commitment to innovation and maintaining a competitive edge in a rapidly evolving technology landscape.

Market Confidence and Next Steps

Etherstack’s CEO, David Deacon, highlighted that the capital raise places the company in a position of strength to fulfill anticipated contracts and continue investing in core and future capabilities. The company remains focused on consolidating its market position, building on recent contract wins in the US and UK, which are key growth markets.

The placement was managed jointly by Veritas Capital and Canary Securities, with settlement expected on 24 November 2025. New CDIs are anticipated to commence trading on or around 25 November 2025, marking the next phase of Etherstack’s growth journey.

With a strengthened financial foundation, Etherstack is well-positioned to navigate the challenges and opportunities ahead, leveraging its technology expertise to meet the demands of critical communications sectors worldwide.