The Electro Optic Systems Holdings Ltd (ASX: EOS) share price has been put in the freezer this morning amid news of a proposed capital raise.
The Electro Optic Systems' shares will remain halted at $1.54 until the market hears more from the company.
Let's take a closer look at what the market might expect to hear from the space, defence, and communications stock.
Why is the Electro Optic Systems share price frozen?
Electro Optic Systems stock has been put on ice as the company looks to bolster its coffers.
It's said to be embarking on capital raising activities. The proposed capital raise is to incorporate an institutional placement and a share purchase plan.
The company believes its stock will return to trade upon the announcement of the placement's outcome.
However, if such an announcement isn't released by Thursday's open, the stock is expected to return to trade as normal.
The company has announced plenty of news this year. Its directed energy drone defence system was qualified, it received finance support from Export Finance Australia, and its subsidiary SpaceLink achieved notable breakthroughs in its communication satellite design.
Despite these developments, the Electro Optic Systems share price has tumbled 35% since the start of 2022. It's also currently 65% lower than it was this time last year.
