Aquirian (ASX:AQN) is expected to have the balance sheet flexibility to advance the ramp-up of its Drillforce subsidiary, increasing the likelihood of future upgrades, Euroz Hartleys said in a Tuesday note.

The company recently raised AU$8 million through the placement of about 19.9 million shares at AU$0.40 apiece, with proceeds to be used in the inventory build of automated Collar Keeper Systems and critical spares, Drillforce working capital management, and debt restructuring.

Ongoing conversion of the opportunity pipeline is expected to drive earnings upgrades, aligning earnings multiples more closely with peers, the investment advisory firm said.

Euroz Hartleys reaffirmed its buy recommendation on Aquirian and raised its price target to AU$0.80 from AU$0.75.