Locate’s Capital Raise Signals Cautious Growth Amid Market Pressures
Locate Technologies has successfully raised $168,915 through its At-the-Market Facility, reinforcing its financial position as it continues to develop its delivery optimisation platforms.
- Raised $168,915 through ATM Facility with Novus Capital
- Issued 1,020,078 shares at an average price of $0.166
- Total capital raised under ATM Facility now $1.44 million
- Funds to strengthen balance sheet per Treasury Management Policy
- Focus remains on growth of Locate2u and Zoom2u platforms
Capital Raise Details
Locate Technologies Limited (ASX – LOC), the Australian SaaS company specialising in last-mile delivery optimisation, has announced a fresh capital raise of $168,915. This was achieved through its At-the-Market (ATM) Facility agreement with Novus Capital Limited, marking another step in the company’s ongoing strategy to maintain financial flexibility.
The recent share issuance involved 1,020,078 ordinary shares sold at an average price of $0.166 per share. These shares replenish those previously issued as collateral under the ATM Facility, bringing the total amount raised via this mechanism to approximately $1.44 million since inception.
Strategic Use of Funds
Locate Technologies has confirmed that the funds raised will be deployed in line with its Treasury Management Policy, primarily aimed at strengthening the Group’s balance sheet. While the announcement does not specify detailed operational uses, this move signals a cautious but proactive approach to capital management amid a competitive technology landscape.
CEO Steve Orenstein reiterated the company’s commitment to its core platforms – Locate2u, a SaaS solution for managing delivery fleets with features like route optimisation and real-time tracking, and Zoom2u, an on-demand delivery marketplace connecting customers with couriers across Australia. Both platforms remain central to Locate’s growth ambitions.
Outlook and Market Position
With the capital raise behind it, Locate Technologies is positioned to continue investing in product development and market expansion. The company has flagged that further updates on operational progress and strategic initiatives will be provided in its upcoming Q4 FY25 Quarterly Activities report, which investors will be watching closely.
This latest capital raise via the ATM Facility underscores Locate’s ongoing reliance on flexible funding mechanisms to support its technology-first approach in a dynamic delivery logistics sector. As competition intensifies, maintaining a robust balance sheet will be critical to sustaining innovation and scaling its platforms.
Bottom Line?
Locate’s latest capital raise strengthens its financial footing as it prepares for growth milestones ahead.
Questions in the middle?
- How will Locate allocate the new funds across its platforms and operations?
- What impact will ongoing share issuance have on shareholder dilution?
- What growth metrics will the Q4 FY25 report reveal for Locate2u and Zoom2u?
