Locate Technologies Issues 2 Million Shares at A$0.16 in Latest Capital Raise
Locate Technologies has successfully raised A$320,000 through its At-the-Market Facility, reinforcing its balance sheet as it advances its SaaS delivery platforms Locate2u and Zoom2u.
- Raised A$320,000 via ATM Facility with Novus Capital
- Issued 2 million ordinary shares at A$0.16 average price
- Total ATM Facility capital raised now A$875,680
- Funds to support balance sheet and growth initiatives
- Focus remains on Locate2u and Zoom2u delivery platforms
Capital Raise Details
Locate Technologies Limited (ASX, LOC), the Australian technology company behind last-mile delivery platforms Locate2u and Zoom2u, has announced a fresh capital raise of A$320,000. This was achieved through its existing At-the-Market (ATM) Facility agreement with Novus Capital Limited, a mechanism that allows the company to issue shares progressively to raise funds.
The company issued 2 million ordinary shares at an average price of A$0.16 per share. This latest tranche increases the total capital raised under the ATM Facility to approximately A$875,680, reflecting a steady approach to funding without resorting to large, dilutive placements.
Strategic Use of Funds
Locate Technologies has indicated that the funds raised will be used in line with its Treasury Management Policy, primarily to bolster the Group’s balance sheet. While the announcement does not specify detailed spending plans, the capital injection is expected to provide financial flexibility as the company continues to develop and scale its core SaaS offerings.
Locate2u offers businesses a comprehensive platform for managing delivery and service fleets, including route optimisation and real-time tracking. Meanwhile, Zoom2u operates as an on-demand delivery marketplace connecting customers with couriers across Australia. Both platforms are positioned to benefit from ongoing investments in technology and market expansion.
Outlook and Market Position
Management remains focused on growth, with plans to update the market on operational progress in the upcoming Q4 FY25 Quarterly Activities report. The company’s ability to raise capital through the ATM Facility signals confidence in its business model and provides a buffer against market uncertainties.
Investors will be watching closely to see how Locate Technologies leverages this capital to enhance its technology stack and customer reach, particularly as competition in the last-mile delivery space intensifies.
Bottom Line?
Locate Technologies’ measured capital raise sets the stage for growth but leaves investors eager for concrete operational updates.
Questions in the middle?
- How will the company specifically allocate the new funds across its platforms?
- What impact will the share issuance have on existing shareholders’ dilution?
- What growth milestones can investors expect in the upcoming quarterly report?
