Post by Bell Potter Securities

Bell Potter is delighted to have acted as Joint Lead Manager and Underwriter to Electro Optic Systems' (ASX:EOS) A$190.0 million Placement - priced at A$8.00 per share.   As part of the Placement, EOS has secured a A$40 million strategic investment from two global investors, including Generation 5 Holding LLC - a related entity of Calidus LLC - who is a major provider of defence equipment, technology and services based in Abu Dhabi and has existing strategic collaborations with EOS.   EOS is well-positioned to fund the upfront consideration of the MARSS acquisition, as well as increase balance sheet flexibility to pursue growth opportunities and execute on strategic initiatives.   Following completion of the acquisition and the Placement, EOS is expected to have a pro-forma net cash balance of ~A$235m.   James Berman, Director of Corporate Finance, comments: “Congratulations to the entire EOS team on their successful equity raising. EOS is at the forefront of rapidly evolving technologies across counter-drone and space control and remains poised for the tailwind of accelerating structural demand for counter-drone defences. The acquisition of MARSS represents a transformational milestone in expanding the unconditional orderbook to ~A$726 million – of which up to ~80% is expected to be revenue-generating by 2027. Welcoming Generation 5 Holding and other strategic investors as shareholders is a significant endorsement of the quality of EOS’ competitive moat." Congratulations to Dr. Andreas Schwer, Clive Cuthell, and David Bert from EOS, as well as the Bell Potter team including James Berman, Daniel Goodman, Matthew Zema, Adam White, Jason Bailey and Steve Cossettini, CFA. Disclosure: Bell Potter Securities acted as Joint Lead Manager and Underwriter to the $190m ASX Capital Raise for Electro Optic Systems and received fees for that service.