Funding Delays and Compliance Risks Shadow AHI’s ASX Return Plans

Capital Injection to Support ASX Reinstatement

Advanced Health Intelligence Ltd (AHI) has taken a significant step in strengthening its financial footing by securing up to AUD 5.5 million from Sydney-based Oakley Capital Partners. This funding, structured through a private placement and a convertible note facility, is a cornerstone of AHI’s strategy to meet ASX requirements for reinstatement to trading and to underpin its ongoing operations.

The private placement involves issuing 55 million shares at AUD 0.05 each, accompanied by free attaching options exercisable at AUD 0.08, while the convertible note facility offers up to AUD 2.75 million with flexible drawdown terms. Shareholder approval for these arrangements will be sought at an upcoming general meeting.

Broader Funding Strategy and Operational Efficiency

Beyond Oakley Capital’s commitment, AHI is actively pursuing an additional USD 6 million from strategic investors, aiming to secure a robust 12-month cash buffer post-reinstatement. This includes ongoing engagement with Quarters Academy, a major shareholder, and other investment groups.

Operationally, AHI has successfully reduced its normalized monthly cash burn to AUD 276,000, a move that enhances capital efficiency during this critical phase. The company is also advancing its R&D reimbursement claims with AusIndustry, expecting to unlock up to AUD 3 million in non-dilutive capital through rebates and advances for the 2024 to 2026 financial years.

Challenges and Compliance Progress

While the capital raise marks positive momentum, AHI faces ongoing challenges. The USD 4 million convertible note facility from UAE-based KOR Investments remains delayed due to jurisdictional fund transfer constraints, with no clear timeline for resolution. Meanwhile, AHI is diligently working to complete all outstanding financial reports and satisfy ASX compliance conditions, including the critical 2024 Annual Report due by September 30, 2025.

The ASX has indicated that reinstatement will only proceed once all reporting obligations are met and the company demonstrates satisfactory financial health. AHI’s management remains confident in meeting these requirements and is committed to transparency with shareholders throughout the process.

Strategic Outlook and Shareholder Incentives

AHI’s capital strategy is aligned with its global expansion plans, particularly in the MENA region, Asia, and the US. The company plans to deploy funds to accelerate product development, business development, and marketing efforts. Additionally, a bonus options entitlement issue is planned post-reinstatement to reward shareholders for their continued support during the suspension period.

Founder and Head of Strategy Vlado Bosanac highlighted the company’s focus on returning to the market with a strong capital foundation and operational momentum, emphasizing the growing recognition of AHI’s innovative digital health technologies.