Codeifai’s $1.1M Placement: Key Details Behind the Price Jump

Capital Raise Details and Market Reaction

Codeifai Limited (ASX – CDE), a technology company specialising in software and IT services, recently completed a capital raising of $1.1 million through a placement of approximately 144.7 million shares priced at 0.76 cents each. Each share subscribed also came with a free-attaching option, a common incentive to sweeten the deal for investors.

The timing of this placement was notable, coinciding with an 85% intraday surge in Codeifai’s share price on 22 January 2026, alongside a significant increase in trading volume. This sudden market activity prompted ASX Compliance to issue an Aware letter seeking clarity on whether the capital raise or related information had been disclosed appropriately and whether it materially affected the share price.

Broker Engagement and Fee Structure

Oakley Capital served as the lead manager for the placement, earning a 6% cash fee plus broker shares and options equivalent to 6% of the placement shares and options. The company described these fees as reasonable given the size of the raise and Codeifai’s relatively small market capitalisation. Importantly, the broker mandate was originally executed in October 2024 and extended in July 2025, with fees previously disclosed in earlier announcements, underscoring transparency in the process.

Compliance and Disclosure Timeline

The Codeifai board convened on 22 January 2026 to approve the placement, with the chairman engaging the broker shortly thereafter. Firm commitments for the capital raise were confirmed late that evening, but due to market closure, the formal announcement was made pre-market on 23 January 2026. Codeifai confirmed it complied fully with ASX Listing Rules 3.1 and 3.1A, which govern continuous disclosure obligations, and that all responses to ASX inquiries were authorised by the board.

This sequence of events highlights the company’s efforts to balance timely disclosure with regulatory requirements, especially in the context of market-sensitive information. The ASX’s detailed review and Codeifai’s comprehensive responses demonstrate the ongoing scrutiny listed companies face when share price movements coincide with capital raising activities.

Looking Ahead

While the capital raise provides Codeifai with fresh funds to support its operations or strategic initiatives, the broader market will be watching how the company leverages this capital and whether further announcements will sustain investor confidence. The involvement of Oakley Capital as lead manager and the fee structure may also attract attention from shareholders mindful of cost efficiency in capital raising exercises.