Argonaut, as Joint Book Runner, has been successful in raising A$6.25 million (gross) for OBJ Limited (ASX: OBJ) (“OBJ”) via an oversubscribed placement to new institutional and sophisticated investors of approximately 109,649,123 new ordinary shares at an issue price of A$0.057 per share, with Lead Manager, Baker Young Stockbrokers.
The proceeds from the placement and SPP will be predominantly used to:
- Accelerate development of OBJs varied pipeline of platform technologies. OBJ has a number of new platforms in the recently announced DCE technologies, the first personalisation app for smartphones as well as the commercialisations of the Bodyguard program;
- Service the growing number of programs that assist existing partners in upcoming product roll-outs;
- Allow OBJ to expand the number of third parties in regard to additional partnering/license agreements;
- Provide working capital for the Company to offer its partners turnkey commercialisation of product lines; and
- Strengthen OBJs balance sheet that will assist in upcoming potential partnering/license negotiations.
Commenting on the Capital Raising, OBJ’s Non-Executive Chairman, Glyn Denison said “This successful capital raising achieves one of the Company’s objectives to gain the support of long-term institutional investors in the Company. We are especially encouraged by the strength of this support from these institutions. This provides OBJ with the financial strength to increase the number of potential partners with which we can transact, increase the rate at which we bring to market our existing technologies and speed up the development of our promising pipeline of future products.”
Additional information regarding OBJ can be found on the company’s website at www.obj.com.au.
