Aberdeen-based oil and gas technology firm Plexus Holdings is to seek £6 million from its investors to strengthen its balance sheet. The firm said it has agreed the terms of an offer to new and existing shareholders at 65p
a share.

A spokesman for Plexus said: “The placing is intended to bolster the business during the current down-cycle and provide the flexibility to support the capital requirements of our long-term strategy of becoming a leading international oil-and-gas services company, supplying a new and superior standard of well-head equipment and associated products for exploration, production and sub-sea applications.”

Plexus, which develops well-heads aimed at preventing the type of blow-out seen in the 2010 Gulf of Mexico disaster, added that the proceeds will be used to pursue opportunities in new regions (including the Americas, Asia and Russia) and to boost its R&D spending, with an eye on the decommissioning market.

Shareholders will be asked to approve the fundraising at a general meeting to be held on 28 June, with trading in the new shares set to begin the following day.

Chief executive Ben van Bilderbeek said: “The funds raised will ensure that we can continue to invest in our proprietary technology and products, and at the same time support our new partners in overseas markets such as Russia. Needless to say, we are keen to be in a position to ‘hit the ground running’ once activity in the sector picks up.”

Earlier this year, AIM-listed Plexus warned that its full-year results would be “significantly” below City hopes, and it almost halved its workforce — to 80 — in a bid to cut its payroll costs.