Small-cap technology shares swung widely as capital raises, AI deals and takeover news drove the week.
Strong operating results lifted several established names, while fraud and funding concerns weighed on others.
- Klevo Rewards rose 89.58% after acquisitions and a stablecoin trial produced reported July revenue of $19 million.
- Ovanti gained 50.00% while launching two separate capital raises, each priced at $0.002 per share.
- Thrive Tribe fell 50.00% after issuing 235 million shares to raise $235,000 for working capital.
- BetMakers agreed to a $283 million Tabcorp takeover, while CAR Group reported 14% profit growth.
- Life360 fell 17.58% despite strong user, subscription and advertising growth.
Small-cap moves dominated the week. Klevo Rewards (ASX:KLV) climbed 89.58% after reporting $19 million in July revenue from an early stablecoin trial and announcing two acquisitions. Ovanti (ASX:OVT) rose 50.00% while pursuing a $2.293 million entitlement offer and a separate $1 million share placement. Thrive Tribe Technologies (ASX:1TT) fell 50.00% after issuing 235 million shares at $0.001 each to support daily costs.
Capital raises set the tone for smaller companies
Klevo’s rise followed a report that Fly Wallet generated $19 million in July during an early stablecoin trial. Stablecoins are digital tokens designed to keep a steady value against a currency. The company also agreed to buy Just Ask Solar and Asfin Funds Management. Investors still face uncertainty because the trial figures are preliminary, and Klevo has proposed combining every 10 shares into one.
Ovanti’s two offers bring in new money, but they will also create many more shares. Existing holders who do not participate could own a smaller percentage of the company. Thrive Tribe’s raise was much smaller and followed earlier capital raisings. The 50% fall suggests investors were more concerned about new share supply and the company’s cash needs than the immediate funding.
AI spending attracts deals and government support
AI-related announcements remained common across the technology market. Centuria Capital Group (ASX:CNI) and ResetData secured a $165 million loan facility for graphics processors and arranged 72 megawatts of power for new AI data centres. Customer demand is said to exceed near-term capacity, with revenue expected from the second half of FY27. The project still depends on equipment delivery, power availability and customer rollout.
Pathkey.AI (ASX:PKY) raised $2.8 million at $0.028 per share and appointed former Altium chairman Sam Weiss as a strategic adviser. The money will support Chipforge, its chip-design software. Vection Technologies (ASX:VR1) received $1.2 million in government grants for four projects covering AI, extended reality and digital health. AdNeo (ASX:AD1) also raised $1.5 million for AI investment, operating improvements and possible acquisitions.
Takeovers and stronger profits support larger names
BetMakers Technology Group (ASX:BET) agreed to a Tabcorp takeover worth about $283 million. Tabcorp will pay $0.24 per share, a 45.5% premium to BetMakers’ last closing price. Holders can choose cash or a mix of cash and Tabcorp shares. The deal needs competition and other regulatory approvals, with completion targeted for the third quarter of FY27.
CAR Group (ASX:CAR) increased net profit by 14% to $332.4 million, helped by vehicle marketplace growth and new AI products. Bravura Solutions (ASX:BVS) lifted net profit by 49% to $110.9 million despite a 9.7% revenue decline. It also announced a 15-cent final dividend and a $50 million share buyback. SEEK (ASX:SEK) grew sales by 17% and lifted its dividend, but reported a $371 million loss after reducing the value of its Chinese associate and its Growth Fund.
Several price gaps then tested investor confidence. CAR’s early rise continued, with the stock adding 6.10% after reopening at $28.37. BetMakers also opened strongly, but gave back 4.35% from its reopening price of $0.23. Pathkey.AI lost 11.63% after reopening at $0.043. Life360 (ASX:360) fell 20.50% from its reopening level of $29.61, even though users reached 102.4 million and adjusted earnings rose 53%. The fall suggests some investors sold despite the operating gains.
Gaming, digital content and company risks
InFocus Group Holdings (ASX:IFG) gained 40.00% after upgrading its Codexa online gaming platform with VIP features and an AI system for identity checks and anti-money-laundering work. SportsHero (ASX:SHO) rose 25.00% after adding more than 1,000 Razer gaming vouchers to HeroPlay. Nanoveu (ASX:NVU) secured a US$300,000 pilot order for glasses-free 3D films in India.
Not every technology story involved growth. Straker (ASX:STG) said a review found US$5.2 million of suspected fraud at its US subsidiary. Its shares remain suspended while auditors review current and earlier accounts. Adslot Technologies entered an arrangement with creditors to manage debts while keeping control of its advertising platform. These cases show why investors must check a company’s cash position and accounts, not only its product claims.
Bottom Line?
The next stage will depend on whether announced deals become real sales and cash flow. Investors will watch the BetMakers takeover timetable, Centuria and ResetData’s AI facility rollout, Ovanti’s capital raising, and Straker’s audit process through FY27.
Questions in the middle?
- Will Klevo’s stablecoin trial produce repeat revenue after the preliminary July result?
- Can Centuria and ResetData secure enough customers to fill their planned AI data-centre capacity?
- When will Straker complete its audit and clarify the full financial effect of the US fraud?