AFR News Report provided details of the capital raising sought by SMN:

"Street Talk

Aerospace tech group Structural Monitoring Systems in $22.6m raising

Oct 6, 2021

ASX-listed aviation industry services group Structural Monitoring Systems is seeking to raise $22.6 million in an equity raising via Evolution Capital.

The deal was split into a $10 million placement and $12.6 million rights issue, according to terms sent to potential investors.

Street Talk.  Louie Douvis

New shares were on offer at 62¢ each, which was a 36 per cent discount to the last close.

The placement would see 16.1 million new shares issued, while the rights issue was a one-for-six non renounceable deal for another 20.3 million shares.

Funds raised would be used for working capital and “strategic debt optimisation” according to terms sent to potential investors, as well as “future acquisitions & capex requirements”.

The deal implied a $98.1 million post-raising market capitalisation, while the group would have $25 million in cash.

The broker was calling for bids into the placement by 2pm on Thursday.

Structural Monitoring Systems’ shares went into a trading halt on Wednesday morning."

It's premature to pass comment on this until the company provides and confirms full details.