Technology Wrap: Defence demand rises as dilution and unexplained selling unsettle small caps

• Bridge SaaS fell 50% after the company denied knowing of any undisclosed news behind heavy selling.
• InFocus rose 28.57% after completing a $465,000 raise, although its share issue documents do not fully match.
• Dataworks fell 16.67% while seeking up to $4.24 million, with new shares and options set to increase dilution.
• Codan targets about 20% Communications revenue growth after record FY26 sales and a 50% rise in pending orders.
• icetana AI added $135,096 in expected annual recurring revenue through its third Antara Core sale in three months.

Bridge SaaS (ASX:BGE) was the week’s biggest mover, falling 50.00%. The shares reopened at $0.015 and then fell 40.00% to $0.009. The company said it knew of no hidden price-sensitive information. That answer did not explain why investors sold so heavily.

InFocus Group Holdings (ASX:IFG) rose 28.57% after completing a $465,000 share sale to fund new products, mainly in gaming technology. Dataworks Group (ASX:DWG) moved the other way, falling 16.67% as it sought up to $4.24 million for debt repayment, contract start-up costs and growth. Investors must weigh that funding against the larger number of shares and options that could follow.

Capital raises bring cash and dilution

Dataworks has committed $3 million from professional investors and is seeking another $1.24 million from existing shareholders. The offer price is $0.12, a 20% discount to the previous close. New shares could lift the total from 103.1 million to 138.4 million. Options could add more shares later if holders pay the $0.20 exercise price. The lower share price suggests investors focused on dilution and the need to prove new contracts can produce cash.

InFocus also faces a document problem. The company said 93 million placement shares would be issued, but its cleansing notice covers 90 million. A cleansing notice gives buyers information needed to trade newly issued shares. The unexplained difference needs clarification. Shareholders must also approve 46.5 million free-attaching options.

Defence and gold demand lift Codan

Codan Limited (ASX:CDA) gained 11.04% after reporting record FY26 revenue of $875 million and net profit of $175.2 million. Communications sales benefited from unmanned systems, whose revenue more than doubled to about $215 million. Pending Communications orders rose 50% to $380 million. Codan is targeting about 20% Communications revenue growth in FY27, but says factories and suppliers must keep up.

Metal Detection revenue rose 42% to $362 million after the launch of the GPZ8000 and Gold Monster 2000. That result gives Codan two separate sources of demand: defence equipment and products used by gold prospectors. The company ended FY26 with $35.7 million in net cash and paid a fully franked dividend of 48.5 cents per share.

Recurring software sales build slowly

icetana AI (ASX:ICE) rose 16.13%. The shares reopened at $0.032 and then climbed 12.50%. The company signed a five-year, $675,480 contract for its Antara Core security software. The deal is expected to add $135,096 in annual recurring revenue from 1 November 2026. It is the third sale in three months, but renewal income after five years is not guaranteed.

Data#3 (ASX:DTL) added 5.92% after gross sales rose 12.7% to $3.385 billion and profit before tax increased 14% to $78.8 million. Recurring sales now make up 70% of group sales. Services profit fell 12.6%, however, and operating cash flow weakened. That leaves the next year dependent on improving project and staff-services results.

Proof remains the next hurdle

ION Video (ASX:IOV) rose 6.33% after raising $4.25 million. The shares reopened at $0.41 and moved 2.44% higher. The money will pay for independent United States trials of its video technology. Directors and managers have committed another $1.2 million, subject to shareholder approval. No trial results, licensing deals or commercial revenue have been reported yet.

Elsewhere, NoviqTech (ASX:NVQ) was unchanged while seeking approval to buy platform software for $67,000 plus GST. Without approval by 31 December 2026, it may have to stop using that software. Thrive Tribe Technologies (ASX:1TT) was also unchanged as it built a Queensland directory for veterans seeking allied health providers. The product has no launch date or national rollout plan.

Bottom Line?

Investors will be watching whether Codan can convert its larger Communications orderbook into FY27 revenue despite supply limits. Dataworks and InFocus must explain their share and option totals, while ION Video must publish independent trial results. icetana AI’s next test will be whether recent contracts renew and produce steady revenue after deployment.

Questions in the middle?

• Can Codan supply enough unmanned systems to deliver its target of about 20% Communications revenue growth in FY27?
• Will Dataworks and InFocus reconcile their share and option numbers, and can the new capital produce stronger sales?
• When will ION Video disclose independent trial results, licensing agreements or commercial revenue?