Use of Proceeds
Allocation of the US$119M investment
Overview
NuBatt intends to use the net proceeds from this Offering to fund the commercialisation of its nuclear battery technology, establish isotope production capabilities, and scale operations. This section details the planned allocation of the US$119 million investment.
Allocation Summary
| Category | Amount (US$) | Percentage |
|---|---|---|
| Facility & Equipment | ~$53,550,000 | ~45% |
| R&D & Prototyping | ~$23,800,000 | ~20% |
| Team Expansion | ~$17,850,000 | ~15% |
| Regulatory & Licensing | ~$11,900,000 | ~10% |
| Working Capital & Contingency | ~$11,900,000 | ~10% |
| Total | $119,000,000 | 100% |
Facility & Equipment
~45% / ~$53.55M
R&D & Prototyping
~20% / ~$23.8M
Team Expansion
~15% / ~$17.85M
Regulatory & Licensing
~10% / ~$11.9M
Working Capital & Contingency
~10% / ~$11.9M
Facility & Equipment (~45% / ~$53.55M)
Manufacturing Facility
The largest allocation supports establishment of NuBatt's production facility.
Location: Singapore or strategic global location to be determined based on:
- Regulatory environment
- Supply chain access
- Customer proximity
- Cost considerations
- Talent availability
Facility Components:
| Component | Purpose | Est. Cost |
|---|---|---|
| Cleanroom | Semiconductor and electronics manufacturing | ~$8-10M |
| Hot Cells | Isotope handling and battery integration | ~$12-15M |
| Manufacturing Floor | Production assembly and testing | ~$8-10M |
| R&D Laboratories | Ongoing development and testing | ~$4-5M |
| Shielded Storage | Isotope inventory management | ~$3-4M |
| Office/Admin | Team workspace, meeting facilities | ~$2-3M |
Major Equipment
| Equipment Category | Purpose | Est. Cost |
|---|---|---|
| SiC Fabrication | Wafer production for converters | ~$8-10M |
| Isotope Handling | Processing and integration systems | ~$5-7M |
| Shielding Manufacturing | Battery enclosure production | ~$3-4M |
| Testing & QA | Radiation measurement, quality control | ~$2-3M |
| Safety Systems | Monitoring, containment, emergency | ~$2-3M |
Infrastructure
| Item | Description |
|---|---|
| Utilities | Power, water, gas, HVAC |
| Security | Access control, monitoring, perimeter |
| IT Infrastructure | Network, data systems, controls |
| Environmental | Waste handling, ventilation, filtration |
R&D & Prototyping (~20% / ~$23.8M)
Product Development
NuBatt-L1
Production readiness, manufacturing optimisation — ~$8M
NuBatt-S1
Development completion, prototype validation — ~$6M
NuBatt-P1
Xenon photovoltaic development — ~$4M
NuBatt-Q1
Quantum spherical R&D — ~$3M
NuRTG
Initial development, feasibility — ~$2.8M
Prototyping Activities
| Activity | Purpose | Budget |
|---|---|---|
| Pilot Manufacturing | Validate production processes | ~$3-4M |
| Customer Validation Units | Defence and commercial evaluation | ~$2-3M |
| Testing & Iteration | Performance optimisation | ~$1-2M |
R&D Infrastructure
| Item | Description |
|---|---|
| Simulation Capabilities | MCNP, thermal, mechanical modelling |
| Materials Testing | Characterisation, radiation testing |
| Component Development | Electrodes, converters, shielding |
| Process Development | Manufacturing process optimisation |
Team Expansion (~15% / ~$17.85M)
Hiring Plan
| Period | Headcount | Payroll Cost (incl. benefits) |
|---|---|---|
| Year 1 (2026) | 16 | $4.2M |
| Year 2 (2027) | 37 | $8.6M |
| Year 3 (2028) | 71 | $17.8M |
Total 3-Year Personnel Investment: ~$30.6M (funded from proceeds + revenue)
Key Positions
| Function | Roles | Count |
|---|---|---|
| Executive | CEO, CFO, COO, VP Engineering | 4 |
| Senior Engineers | Nuclear, semiconductor engineers | 2 |
| Engineers | Core technical team | 3 |
| Technicians | Lab and production support | 2 |
| Support | Admin, QC, Regulatory, Safety | 5 |
Recruitment & Onboarding
| Item | Purpose |
|---|---|
| Recruitment Costs | Search fees, relocation |
| Training | Nuclear safety, regulatory compliance |
| Onboarding | Integration, equipment, systems |
Employee Benefits & Programs
| Item | Description |
|---|---|
| Benefits | Health, insurance, retirement |
| Equity Program | ESOP for retention |
| Development | Training, conferences, education |
Regulatory & Licensing (~10% / ~$11.9M)
Regulatory Pathway
| Jurisdiction | Activity | Est. Cost |
|---|---|---|
| Singapore | NEA licensing, radiation permits | ~$2-3M |
| IAEA | Transport certifications, compliance | ~$1-2M |
| Export Controls | Dual-use technology licensing | ~$1-2M |
| Defence Qualifications | Contractor certifications | ~$2-3M |
| Country-Specific | Market entry approvals | ~$2-3M |
Professional Services
| Service | Purpose |
|---|---|
| Legal | Regulatory filings, contract support |
| Consultants | Nuclear regulatory specialists |
| Testing Services | Third-party validation, certification |
| Documentation | Quality systems, compliance records |
Certification & Compliance
| Area | Activities |
|---|---|
| Quality Systems | ISO 9001, AS9100 (aerospace) |
| Nuclear Safety | IAEA compliance, dose monitoring |
| Environmental | Waste management, environmental permits |
| Security | Cleared facility, personnel clearances |
Working Capital & Contingency (~10% / ~$11.9M)
| Item | Purpose | Est. Allocation |
|---|---|---|
| Isotope Inventory | Initial feedstock procurement | ~$3-4M |
| Materials & Supplies | SiC, components, consumables | ~$2-3M |
| Operational Cash | Day-to-day operations buffer | ~$2-3M |
Working Capital Considerations
| Factor | Management Approach |
|---|---|
| Defence Payment Cycles | 60-90 day terms; maintain cash buffer |
| Isotope Lead Times | Strategic inventory positioning |
| Supplier Terms | Negotiate favourable payment terms |
| Revenue Timing | Phase spending with revenue ramp |
Milestone-Based Deployment
Phase 1: Foundation (Months 1-6)
| Milestone | Capital Deployed |
|---|---|
| Facility site selection and lease | ~$5M |
| Key executive hires | ~$2M |
| Regulatory pathway initiation | ~$3M |
| R&D programme launch | ~$5M |
| Phase 1 Total | ~$15M |
Phase 2: Build-Out (Months 7-12)
| Milestone | Capital Deployed |
|---|---|
| Facility construction/fit-out | ~$25M |
| Equipment procurement and installation | ~$15M |
| Team expansion | ~$3M |
| Prototype development | ~$5M |
| Regulatory submissions | ~$2M |
| Phase 2 Total | ~$50M |
Phase 3: Production Initiation (Months 13-24)
| Milestone | Capital Deployed |
|---|---|
| Production ramp-up | ~$15M |
| Customer delivery | ~$5M |
| Additional hiring | ~$5M |
| Isotope production initiation | ~$10M |
| Working capital deployment | ~$5M |
| Phase 3 Total | ~$40M |
Phase 4: Scale (Months 25-36)
| Milestone | Capital Deployed |
|---|---|
| Capacity expansion | ~$8M |
| Market expansion | ~$3M |
| Contingency/reserve | ~$3M |
| Phase 4 Total | ~$14M |
Capital Efficiency
Investment Priorities
Revenue-Generating Assets
Facility and equipment enable sales
Technology Leadership
R&D maintains competitive advantage
Team Quality
Experienced team executes strategy
Regulatory Compliance
Required for market access
Financial Flexibility
Working capital ensures operations
Cost Management
| Approach | Implementation |
|---|---|
| Phased Investment | Deploy capital as milestones achieved |
| Vendor Competition | Competitive bidding for major contracts |
| Build vs. Buy | Evaluate for each capability |
| Partnerships | Leverage partners for non-core activities |
Future Funding Considerations
Capital Position Post-Investment
This raise positions NuBatt to:
- Establish production capability
- Generate initial revenues
- Demonstrate commercial traction
- Build toward profitability
Path to Self-Sufficiency
| Year | Revenue | Cash Position |
|---|---|---|
| 2027 | $50M | Operating cash positive |
| 2028 | $200M | Approaching cash flow positive |
| 2029+ | $650M+ | Self-funding growth |
Potential Future Capital
Summary
The US$119 million investment will be deployed to establish production capability, achieve product readiness, build execution capacity, and maintain operational flexibility.
| Category | Allocation | Key Outcomes |
|---|---|---|
| Facility & Equipment | 45% | Production capability |
| R&D & Prototyping | 20% | Product readiness |
| Team Expansion | 15% | Execution capacity |
| Regulatory & Licensing | 10% | Market access |
| Working Capital & Contingency | 10% | Operational flexibility |
The allocation prioritises establishing production capability and generating revenue while maintaining flexibility for market developments and opportunities.
[End of Use of Proceeds]