Atomo Diagnostics Secures $260K in Shortfall Placement, Boosting Growth Capital
Atomo Diagnostics has successfully placed $260,000 of the shortfall from its recent Share Purchase Plan, issuing over 14 million shares and options to sophisticated investors. This capital injection strengthens the company’s working capital position as it advances its rapid diagnostic test business.
- Raised $260,000 through shortfall placement of 14 million shares
- Issued matching options exercisable at $0.04 until July 2028
- Placement approved at June 2025 Extraordinary General Meeting
- Funds earmarked for working capital and ongoing business objectives
- Lead managed by Bay Financial and GBA Capital with 6% fees
Capital Raise Completes Share Purchase Plan Shortfall
Atomo Diagnostics Limited (ASX – AT1), an Australian medical device company specialising in rapid diagnostic test devices, has successfully placed the shortfall from its recent Share Purchase Plan (SPP). The company raised $260,000 by issuing 14,054,054 shares to a range of sophisticated investors, supplementing the $272,387.50 raised through the initial SPP allotment.
The shortfall placement was approved by shareholders at an Extraordinary General Meeting held in June 2025, reflecting investor support for Atomo’s capital raising efforts. Alongside the shares, investors received an equal number of options exercisable at $0.04 each, with an expiry date set for July 24, 2028. This structure offers investors potential upside while providing Atomo with immediate working capital.
Strategic Use of Funds and Market Position
Managing Director and CEO John Kelly emphasised that the additional capital places Atomo in a strong position to advance its operational activities. The funds raised will primarily support general working capital needs and ongoing business objectives, including the development and commercialisation of Atomo’s patented rapid diagnostic devices. These devices aim to simplify testing procedures and improve reliability in point-of-care and at-home settings, targeting infectious diseases such as HIV and syphilis.
The placement was lead managed by Bay Financial Pty Ltd and GBA Capital Pty Ltd, who earned a combined fee of 6% on the funds placed. The company anticipates allotting the shortfall securities on July 24, 2025, and retains the right to place any remaining shares from the SPP shortfall, which could further bolster its capital base.
Looking Ahead
Atomo’s ability to attract sophisticated investors to complete the shortfall placement signals confidence in its growth prospects and product pipeline. As the company continues to commercialise its unique rapid diagnostic tests internationally, this capital injection provides a timely boost to support its strategic initiatives and operational momentum.
Bottom Line?
Atomo Diagnostics’ successful shortfall placement strengthens its financial footing as it pushes forward in the competitive rapid diagnostics market.
Questions in the middle?
- Will Atomo place the remaining SPP shortfall shares, and how might this affect share dilution?
- How will the newly raised funds accelerate product development or market expansion?
- What impact will the options issuance have on future capital structure and investor returns?