Identitii Limited has secured five new customer contracts worth $250k and seen a four-fold increase in usage of its BNDRY platform, even as its capital raising efforts face delays due to a Takeovers Panel application.
- Five new customer contracts signed, valued at $250k including $220k recurring revenue
- BNDRY platform usage increased four-fold in the quarter
- Partially underwritten Rights Issue to raise up to $2.9 million launched
- Rights Issue delayed by Takeovers Panel application
- Cash balance declined to $155k despite 27% increase in customer receipts
Strong Commercial Momentum
Identitii Limited (ASX, ID8) has reported a robust quarter ending 31 December 2025, marked by significant commercial progress. The company signed five new customer contracts totalling $250,000 in value, with $220,000 of that amount representing annual recurring revenue. This growth is underpinned by the rapid adoption of its BNDRY platform, which saw a four-fold increase in usage over the quarter, signalling strong customer engagement and validation of the product’s value proposition.
Channel Partnerships and Pipeline Expansion
Three of the new customers were secured through Identitii’s strategic partnership with Cherryhub, which has proven effective in delivering new business and validating the company’s indirect sales strategy. The remaining two contracts came from direct sales efforts within the payments sector. The company is focused on accelerating onboarding processes and expanding its sales pipeline, particularly targeting clubs, pubs, and payments industries, to sustain this momentum throughout 2026.
Capital Raising and Regulatory Challenges
To support its growth ambitions, Identitii launched a partially underwritten Rights Issue aiming to raise up to $2.9 million. The company’s largest shareholder, Cameron Beavis, committed to take up his entitlement and partially underwrite the shortfall, guaranteeing up to $2.3 million. However, the Rights Issue has been delayed due to an application by Mitchell Asset Management to the Takeovers Panel, which has raised concerns about the transaction. Identitii has provided an undertaking to the Panel not to issue new securities without approval and to hold funds pending the Panel’s determination, introducing uncertainty around the timing of the capital raise.
Board Appointment and Legal Proceedings
The appointment of Cameron Beavis to the Board as a Non-Executive Director has been postponed pending the completion of the Rights Issue, with Beavis reserving the right to nominate a substitute. Meanwhile, Identitii’s patent infringement claim against JPMorgan Chase remains active but without material updates this quarter. The company maintains confidence in its claim, supported by prior USPTO rulings rejecting validity challenges from JPMorgan Chase.
Financial Position and Outlook
Despite a 27% year-on-year increase in cash receipts from customers to $122,000, Identitii’s cash balance fell sharply to $155,000 from $1.3 million in the previous quarter. The company has secured a $600,000 R&D loan facility with Kashcade to bolster its cash position. Management remains focused on disciplined execution and expects to continue operations supported by the Rights Issue proceeds, the R&D loan, and growing demand for the BNDRY platform.
Bottom Line?
Identitii’s growth story is gaining traction, but the outcome of the Takeovers Panel review and Rights Issue completion will be pivotal in shaping its near-term trajectory.
Questions in the middle?
- How will the Takeovers Panel ruling impact the timing and success of the Rights Issue?
- What is the potential revenue growth trajectory from the BNDRY platform’s expanding customer base?
- When might the Board appointment of Cameron Beavis or his nominee be finalised?