Urbanise announces completion of capital raising at 22.5 cents per share
Total of $21.5M raised from Argosy Capital, a private investment company at 22.5 cents per share.
Shares are subject to a voluntary restriction escrow for a period of 18 months.
Part of the proceeds have funded the $12M acquisition of complementary
technology platforms leaving $9.5M to fund the current growth business plan.
Urbanise.com Limited (Urbanise) (ASX:UBN) today announced that on 28 March 2017 Urbanise shareholders approved the issue of shares to Argosy as underwriting to the rights issue. This approval was the final hurdle in the capital raising process that was announced to investors in January 2017 (comprising a private placement and an underwriting of a 1 for 8 rights issue).
In total, Argosy Capital Limited, a private investment company, has agreed to subscribe for 95.73M Urbanise shares at an issue price of 22.5 cents per share which has raised A$21.5M. Argosy now hold 27.05% of the issued share capital of Urbanise. Demonstrating their long-term shareholder commitment to Urbanise, the shares issued have been voluntarily escrowed for a period of 18 months from the date of issue.
$12M of the proceeds have been used to fund the acquisition of WattkeeperTM and Intelligen intellectual property and certain business assets from Infotech (Pty) Limited (Infotech). The balance of $9.5 M will be used to fund general operating capital to meet transaction costs, along with normal operating expenses including employees, corporate administration, travel and marketing costs.
Commenting on the closing of the capital raising process, Urbanise’s Chairman, Tony Scotton, said, “I am pleased to welcome Argosy to the Urbanise share register and look forward to them sharing, along with other shareholders, in the growth of our business. The closing of the capital raising positions Urbanise to continue to execute on our growth strategy to build scale and further service our growing customer base”.
Established in 2008, Argosy Capital Limited is a privately-owned business headquartered in the Isle of Man. Argosy invests off a proprietary balance sheet in opportunities across a range of industries and jurisdictions. Their focus is predominantly on private equity investments, including limited exposure to venture capital. Argosy does not have a fixed investment horizon and does not raise or manage investments for the public. www.argosy.co.im
Urbanise is the creator of a cloud-based platform for delivering building services and managing property related financial transactions. Designed for strata managers, service providers, and asset owners, the Urbanise Industry Cloud software-as-a-service platform is transforming the traditional engineering approach to building operations – improving customer service, removing operational costs and enabling new revenue streams. Urbanise technology is used in some of the tallest towers and most prestigious communities around the globe. www.urbanise.com