Crowd Mobile Raises $5.4 Million

Crowd Mobile Limited is pleased to advise that the company has successfully raised $5.4 million through a placement of 41,538,461 million ordinary shares at $0.13 per share.

KEY TAKEAWAYS:

  • Crowd Mobile successfully raises $5.4 million.
  • Funds raised through placement to sophisticated and professional investors.
  • Bell Potter Securities Limited and D.J. Carmichael Pty Limited acted as Co-Lead Managers to the placement.
  • Issue price of $0.13 per share is premium to the market.
  • Funds will be deployed to strengthen balance sheet and pay down debt.

The Placement, which was lead managed by Bell Potter Securities limited with D.J. Carmichael Pty Limited as co-lead, was well supported by a number of Australian Securities small cap institutional investors and sophisticated and professional investors.

The issue price of $0.13 per share is a $0.005 premium to market based on closing price from Thursday, 14 April 2017 and a 2% premium to the 30-day volume weighted average price $0.127.

Crowd Mobile welcomes its new shareholders to the register including cornerstone investor Collins Street Asset Management from Melbourne. The capital raising has also been supported by Directors Theo Hnarakis (Chairman) and Domenic Carosa (CEO), who will participate in the capital raising to the value of $100,000 subject to shareholder approval.

The new Shares issued under the Placement will rank equally with the existing Crowd Mobile shares, and the Company will apply for the quotation of the new shares on ASX.

Crowd Mobile’s Chief Executive Officer, Domenic Carosa: “I am delighted to welcome numerous small cap institutional and sophisticated investors onto the Crowd Mobile share register including Collins Street Asset Management as cornerstone investor.

After this raising and the subsequent strengthening of the balance sheet, we have no intention of raising any further capital for the foreseeable future. The Company will be dedicating its time and resources over the coming year into its significant pipeline of organic growth initiatives, especially within the digital influencer space”.

Crowd Mobile expects to release its March 2017 Quarter Results (Q3 FY17) on Wednesday, 26 April 2017.

Watch Crowd Mobile CFO/COO Christian Shaw discuss H1 FY17 Highlights and Full Year Outlook.

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