News and Announcements
Collaborate Corporation Raises $1.26m to Advance the Development of its Collaborative Consumption Business
- Published February 05, 2015 10:22AM UTC
- Publisher Wholesale Investor
- Categories Company Updates
ASX Announcement, 21st January 2015
Collaborate Corporation Raises $1.26m to Advance the Development of its Collaborative Consumption Business
- Placement to high net worth and institutional investors closed heavily oversubscribed
- DriveMyCar Rentals funded to pursue immediate growth plans
- Director continues to demonstrate confidence in the Company and its strategy via participation in the capital raising.
Collaborate Corporation Limited (Collaborate or the Company) (ASX: CL8) is pleased to announce that it has capitalised on the recent increased interest in the Company by raising $1.26 million via a heavily oversubscribed placement to institutions and sophisticated investors (Placement).
The Company will issue 63,000,000 fully paid ordinary shares at an issue price of $0.02 per share (Placement Shares). Subject to shareholder approval, the Company proposes to issue 31,500,000 free attaching listed CL80 options excerisable at $0.02 per option and expiring 30 April 2017 (Placement Options) on a 1 to 2 basis to investors in the Placement.
The Placement Shares will be issued will be issued in two tranches, as follows:
- Tranche 1: Issue of 53,000,000 Placement Shares to raise $1,060,000 on or around 29 January 2015; and
- Tranche 2: Issue of 10,000,000 Placement Shares to raise $200,000 subject to shareholder approval.
Mr Domenic Carosa, a non-executive director of the company, will subscribe for $50,000 of the Tranche 2 Placement Shares, subject to shareholder approval.
DJ Carmichael and Foster Stockbroking acted as joint lead managers to the placement.
To read the full document, please click below.