HeraMED Limited has completed a $3.2 million placement to fund its global rollout of digital maternity care solutions, backed by new and existing institutional investors.
- Raised A$3.2 million through a two-tranche placement at $0.04 per share
- Placement shares issued at a 7% discount to last traded price
- Strong support from new institutional and sophisticated investors alongside existing shareholders
- Funds to accelerate commercial deployments and platform integration in the US, Australia, and Europe
- Key partnerships with Lee Health and Philips underpin growth strategy
Capital Raise to Fuel Growth
HeraMED Limited (ASX – HMD), a pioneer in digital maternity care technology, has successfully completed a $3.2 million capital raise through a two-tranche placement of 80 million new shares priced at 4 cents each. This placement, conducted at a modest 7% discount to the last traded price, attracted a mix of new institutional and sophisticated investors as well as continued backing from existing shareholders.
The fresh capital is earmarked to support HeraMED’s ambitious commercial expansion plans, particularly focusing on accelerating deployments, pilot programs, and integration of its HeraCARE platform across major health systems in the United States, Australia, and Europe. This funding round is a critical step as the company seeks to capitalise on growing demand for scalable digital maternity and women’s health solutions.
Strategic Partnerships and Market Momentum
HeraMED’s CEO, Anoushka Gungadin, highlighted the significance of the placement in strengthening the company’s position. The firm has secured initial commercial agreements with notable partners such as Lee Health and Philips, which provide a solid foundation for further growth. These collaborations not only validate HeraMED’s technology but also open doors to a broader pipeline of health systems and partners eager to adopt innovative maternal health solutions.
The company’s proprietary platform, HeraCARE, combines hardware and software innovations including the HeraBEAT fetal and maternal heart rate monitor, cloud computing, and artificial intelligence. This integrated approach aims to transform prenatal and postpartum care by enhancing patient engagement, improving clinical outcomes, and reducing healthcare costs.
Placement Structure and Next Steps
The placement is structured in two tranches, with the first tranche of approximately 41.3 million shares already issued under ASX listing rules, and the second tranche of nearly 38.7 million shares pending shareholder approval at an upcoming meeting. Notably, non-executive director Sharon Howell has committed to participate in the second tranche, signalling confidence from within the board.
Joint lead managers Westar Capital Limited and Shares in Value Pty Ltd, supported by Candour Advisory Pty Ltd, facilitated the placement. They will receive a 6% capital raising fee and, subject to shareholder approval, options as part of their remuneration.
Looking ahead, HeraMED is poised to leverage this capital injection to broaden its commercial footprint, particularly in the US market where demand for digital maternity care solutions is intensifying due to persistent gaps and fragmented care models.
Bottom Line?
HeraMED’s latest capital raise sets the stage for accelerated growth, but shareholder approval for the second tranche remains a key milestone to watch.
Questions in the middle?
- Will HeraMED secure shareholder approval for the second tranche of the placement?
- How quickly can HeraMED scale its commercial deployments in the competitive US maternity care market?
- What impact will the new capital have on HeraMED’s share price and investor confidence in the near term?