How Will OMG’s $2m Raise Accelerate Its Retail and Ecommerce Growth?
OMG Group has raised $2 million through a share placement to boost inventory and capitalise on growing demand from major Australian retailers and ecommerce channels.
- Raised $2 million via placement of 200 million shares at $0.01 each
- Funds targeted to increase inventory for Blue Dinosaur and Oat Milk Goodness
- Expanded retail presence with Woolworths, 7-Eleven, Quikstop, and Canteen One
- 75% surge in online sales of Blue Dinosaur products last quarter
- Placement includes free attaching options, subject to shareholder approval
Capital Raise to Support Growth Trajectory
OMG Group Limited (ASX – OMG), a health and wellness food company known for its Blue Dinosaur and Oat Milk Goodness brands, has announced a $2 million capital raise through a placement of 200 million new shares priced at one cent each. This fresh injection of funds is aimed primarily at increasing inventory levels to meet rising demand from major Australian retailers and to support the company’s expanding ecommerce footprint.
Retail Expansion and Ecommerce Momentum
The company’s recent operational progress includes securing additional shelf space with Woolworths supermarkets and onboarding with prominent convenience and petrol chains such as 7-Eleven, Quikstop, and Canteen One. These developments complement a notable 75% increase in online sales of Blue Dinosaur products in the last quarter, underscoring the strength of OMG’s multi-channel sales strategy.
Strategic Use of Funds
Beyond inventory build-up, the capital will also be allocated to sales and marketing initiatives, including campaigns featuring existing brand ambassadors, as well as covering operational costs and general working capital needs. CEO Alex Aleksic highlighted the company’s ability to maintain cost discipline while delivering consistent revenue growth throughout FY25, positioning OMG as a rising player in the ‘Better-for-You’ FMCG category.
Placement Structure and Shareholder Approval
The placement will be executed in two tranches – an initial unconditional tranche of approximately 163 million shares issued under existing placement capacity, and a second tranche of about 37 million shares subject to shareholder approval. Additionally, for every two shares subscribed, investors will receive one free attaching option exercisable at $0.015, expiring in September 2027, pending approval. This structure provides potential upside for investors while supporting the company’s capital needs.
Looking Ahead
With the new funding secured, OMG Group is well positioned to capitalise on its recent momentum and further consolidate its presence across retail and online channels. The company’s focus on clean, sustainable, and health-conscious products aligns well with evolving consumer preferences, suggesting a promising outlook as it scales operations and broadens market reach.
Bottom Line?
OMG’s fresh capital boost sets the stage for accelerated growth, but shareholder approval and execution will be key to sustaining momentum.
Questions in the middle?
- Will shareholder approval for the second tranche and options be secured smoothly?
- How will increased inventory translate into revenue growth in upcoming quarters?
- Can OMG maintain cost controls while scaling marketing and operational efforts?
