Capital Raise Signals Growth Ambitions but Leaves Questions on Execution
Locate Technologies has successfully raised nearly $400,000 through its ATM facility, bolstering its cash reserves to support growth in its delivery optimisation platforms.
- Raised $392,564 via At-the-Market (ATM) facility with Novus Capital
- Issued 1.8 million shares at an average price of $0.215 per share
- Cash reserves now approximately $2.05 million
- Funds to support Locate2u and Zoom2u SaaS delivery platforms
- Upcoming Q4 FY25 report expected to reveal operational progress
Capital Raise Details
Locate Technologies Limited (ASX – LOC), the company behind the SaaS platforms Locate2u and Zoom2u, has announced a successful capital raise of $392,564 through its At-the-Market (ATM) Facility with Novus Capital Limited. This latest tranche involved issuing 1,825,322 ordinary shares at an average price of $0.215 per share, executed between late June and early July 2025.
The ATM facility, which allows the company to raise funds flexibly by issuing shares directly to the market, has now raised a total of approximately $1.27 million at an average price of $0.16 per share since its inception. This mechanism provides Locate Technologies with a nimble tool to strengthen its balance sheet without the delays of traditional capital raises.
Strategic Implications
With cash reserves now sitting at around $2.05 million, Locate Technologies is well-positioned to continue investing in its core delivery optimisation and marketplace platforms. Locate2u offers businesses a comprehensive SaaS solution for managing delivery fleets, including route optimisation and real-time tracking, while Zoom2u connects customers with on-demand couriers across Australia.
Management has reiterated its commitment to growth in these two key areas, signaling that the fresh capital will be deployed in line with the company’s Treasury Management Policy to support operational and strategic initiatives. Investors will be keenly watching the upcoming Q4 FY25 Quarterly Activities report for insights into how these funds translate into business development and market traction.
Market Context and Outlook
The last-mile delivery sector remains highly competitive and rapidly evolving, with technology-driven solutions like those offered by Locate Technologies gaining importance as businesses seek efficiency and transparency. The company’s ability to raise capital through the ATM facility demonstrates investor confidence in its growth prospects and the scalability of its SaaS platforms.
However, the announcement stops short of detailing specific uses of the funds or providing updated operational metrics, leaving some questions about the pace and scale of upcoming developments. As the company continues to leverage AI and cloud infrastructure, the market will be watching for tangible progress in customer acquisition, revenue growth, and platform enhancements.
Bottom Line?
Locate Technologies’ latest capital raise strengthens its runway, but investors await concrete growth signals in the upcoming quarterly update.
Questions in the middle?
- How will Locate Technologies specifically allocate the new funds across its platforms?
- What operational milestones can investors expect in the Q4 FY25 report?
- Could further capital raises dilute existing shareholders, and how might the market react?
