Klevo Raises Up to $4.12 Million via Non-Renounceable Share Offer
Klevo Rewards Limited has initiated a non-renounceable entitlement offer to raise up to $4.1 million by issuing new shares at $0.009 each, inviting existing shareholders to participate by 1 October 2025.
- Non-renounceable entitlement offer at $0.009 per share
- Offer ratio, 1 new share for every 2 shares held
- Potential capital raise of approximately $4.12 million
- Offer closes 1 October 2025
- Includes secondary securities offers
Klevo Rewards' Capital Raise Strategy
Klevo Rewards Limited, formerly known as My Rewards International Limited, has formally dispatched its prospectus for a pro-rata non-renounceable entitlement offer. This move invites existing shareholders to purchase one new fully paid ordinary share for every two shares they currently hold, priced at a modest $0.009 per share. The company aims to raise up to $4.12 million through this capital raising initiative.
Context and Purpose
As a global provider of subscription-based loyalty and rewards marketplaces, Klevo Rewards operates in a competitive technology niche focused on white-labelled Mastercard-powered loyalty solutions. This fresh injection of capital is likely intended to support ongoing development, marketing efforts, or operational scaling. While the announcement does not specify the exact use of proceeds, such offers typically aim to strengthen the balance sheet or fund strategic growth initiatives.
Offer Details and Shareholder Implications
The entitlement offer is non-renounceable, meaning shareholders cannot sell their rights on the market, which often encourages direct participation to avoid dilution. The offer closes at 5, 00pm AEST on 1 October 2025, unless extended. Shareholders are advised to carefully review the prospectus and seek professional advice before committing, as the offer also includes secondary securities that could further impact shareholder equity.
Market and Regulatory Considerations
The prospectus has been lodged with both ASIC and ASX, ensuring regulatory compliance. Chairman David Vinson has authorised the release, underscoring the board’s commitment to transparency. While the offer price is low, reflecting the company’s current valuation and market conditions, the capital raise signals Klevo’s intent to maintain momentum in a dynamic sector.
Looking Ahead
Investors will be watching closely to see the uptake rate of this entitlement offer, which will provide insight into shareholder confidence. The inclusion of secondary offers adds complexity and potential dilution, factors that will be scrutinised once further details emerge. Klevo’s ability to leverage this capital effectively could shape its trajectory in the increasingly competitive loyalty technology landscape.
Bottom Line?
Klevo’s $4.1 million capital raise sets the stage for its next growth phase, but shareholder participation will be key to its success.
Questions in the middle?
- What are the specific uses planned for the funds raised through this entitlement offer?
- How might the secondary securities offers affect existing shareholder dilution?
- What level of shareholder participation can Klevo expect given the non-renounceable nature of the offer?
