HALO’s UK Expansion Hinges on FCA Approval Amid Capital Raise Completion

Strong Revenue Growth and Capital Raise Progress

HALO Technologies Holdings Limited (ASX: HAL) has reported a robust quarter ending 31 March 2025, with operating revenue rising to $4.27 million and brokerage and platform revenue increasing to $3.4 million. This growth underscores the company’s expanding footprint in the wealth management and investment platform sector.

Complementing this financial momentum, HALO is nearing completion of a $6.75 million capital raise through convertible notes targeted at wholesale and strategic institutional investors. To date, $6.0 million has been secured, providing essential working capital to support both domestic operations and international expansion efforts.

UK Expansion: HALO Invest Launch and Regulatory Milestones

HALO’s strategic offshore growth remains on track with the formal launch of HALO Invest in the United Kingdom in December 2023. Led by UK finance veteran Douglas Boyce, the platform has moved from pilot to live status for its Global Equity Research subscription model. The company is preparing to roll out its Wealth Management Platform, targeting both financial advisors and direct-to-consumer auto-investing clients, with a focus on model portfolios comprising listed securities and managed funds.

Critical to this expansion is the ongoing Variation of Permissions (VOP) process with the UK Financial Conduct Authority (FCA), aimed at securing the necessary regulatory approvals to operate a full UK-based wealth management platform. HALO expects this process to conclude by the end of June 2025, a pivotal milestone that will enable client onboarding and commercial scaling.

In parallel, HALO Tech Holdings UK LTD is actively engaging with potential strategic investment partners to bolster the UK platform’s commercial prospects. Early indications suggest promising interest, which could accelerate the platform’s market penetration and competitive positioning against established industry players.

Australian Market: Managed Funds Launch on Horizon

Back home, HALO is preparing to launch Managed Funds on its Australian platform in the coming quarter. This development will significantly broaden the product suite available to financial planners, complementing the existing offering of over 30,000 global equities and ETFs. The expanded product base is expected to enhance HALO’s appeal to traditional financial advisors and support further growth in funds under management.

The company’s integrated approach, combining sophisticated institutional-grade analytics with accessible investment execution, positions it well to capitalize on evolving investor preferences and the increasing demand for diversified managed fund options.

Financial Position and Outlook

HALO ended the quarter with $3.38 million in cash and an estimated 2.3 quarters of funding available, reflecting prudent cash management amid ongoing investment in platform development and international expansion. Intercompany costs included payments to director-related entities, a detail disclosed transparently in the Appendix 4C filing.

Looking ahead, HALO’s dual focus on growing its Australian B2B network and subscriber base, alongside the UK platform launch, sets the stage for a potentially transformative period. The company’s ability to secure FCA approval and finalize strategic partnerships will be critical to unlocking the full value of its offshore ambitions.