Sunrise Energy Metals to Invest $5 Million in US-Based Agni Semiconductor; Shares Down 3%
Sunrise Energy Metals (ASX:SRL) agreed to invest $5 million into US-based Agni Semiconductor, according to a Monday filing with the Australian bourse.The investment would represent 50% of Agni's proposed $10 million seed round at a $45 million pre-money valuation, per the filing.The investment, which is subject to the completion of due diligence and regulatory approvals, will be made by way of a simple agreement for future equity, which is expected convert into shares of Agni common stock when it reorganizes from a limited liability company to a Delaware C-corporation.Assuming the round is fully subscribed and all linked warrants are exercised, Sunrise expects to hold a stake of about 17% in Agni on a fully diluted basis, the company said. Sunrise will also receive rights to make follow-on investments in Agni.The deal will expand Sunrise's exposure to emerging scandium-enabled semiconductor technologies.The company's shares fell past 3% in recent Monday trade.