Change Financial announce $4.25 million capital raising to support growth

Change Financial Limited have announced it has received binding commitments for A$3.50 million through a placement of new fully paid ordinary shares in the Change (New Shares) to institutional, sophisticated and professional investors (Placement). In conjunction with the Placement, the company will provide existing eligible shareholders with the opportunity to participate in a Share Purchase Plan (SPP) to raise up to a further A$0.75 million.

Net proceeds raised from the Placement and SPP will be used to strengthen the company’s financial position, support the working capital cycle (particularly due to increased PaaS volumes), fund security capital requirements and to execute on several near-term potential client opportunities. All New Shares issued under the Placement and the SPP will rank equally with the Change Financial’s existing fully paid ordinary shares on issue.

The Placement will raise A$3.50 million, before offer costs, and comprises the issue of approximately 46.7 million New Shares at A$0.075 per New Share (Offer Price).