VivoPower International PLC announced that it has terminated its at‑the‑market (ATM) equity offering agreement with Chardan Capital Markets, LLC, which had been in effect since December 23, 2025. The agreement had allowed the company to sell ordinary shares under its Form F‑3 shelf registration, with a maximum aggregate sale price of $18 million.
The decision follows a comprehensive review of the company’s operating cash‑flow outlook, capital requirements, and the availability of alternative non‑dilutive funding sources. Management concluded that projected cash flow from operations, together with current and anticipated project‑level financing, would suffice to meet near‑term needs, making the ATM facility unnecessary.
VivoPower’s financial performance has deteriorated sharply in recent years. Revenue has fallen 89.9% over the past three years, and the company has posted highly negative operating and net margins. Cash burn remains high, and the company has acknowledged a material uncertainty related to its going‑concern status if sufficient funding is not secured.
The alternative funding strategy centers on project‑level financing and economically non‑dilutive sources at the project or asset level. This approach aligns with the company’s recent acquisition of OGDC Pte Ltd, an AI data‑center infrastructure developer, and supports its “power‑to‑X” strategy without diluting existing shareholders.
VivoPower’s business is segmented into Electric Vehicles, Power‑to‑X, Digital Assets, Solar Development, and Corporate Office operations. The termination of the ATM facility reduces the capital‑raising flexibility for these segments, but it also signals a shift toward disciplined capital allocation and a focus on leveraging existing assets and project‑specific financing.
Management stated, “Management has determined that at this current time, its projected cash flow from operations, as well as current and projected economically non‑dilutive sources of funding, obviate the need to raise ATM capital.” This statement underscores the company’s confidence in its cash‑flow generation while acknowledging the need to preserve equity for shareholders.
By removing the ATM facility, VivoPower limits its ability to raise equity quickly in the future, which may be viewed as a prudent move to avoid dilution but also as a sign of limited capital flexibility amid ongoing financial challenges. Investors will likely interpret the decision as a cautious approach to capital management in the context of the company’s weak financial position and the need to secure non‑dilutive funding for its growth initiatives.
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