De.mem (ASX:DEM) enters trading halt ahead of capital raise

• Water and wastewater company De.mem (DEM) has entered the week in a trading halt as it plans for an upcoming capital raise
• So far, there are no details on how much the company is aiming to raise or where the funds will be spent
• DEM shares will be paused until Wednesday (March 17) or when more information is released to the market
• On the market, DEM last traded for 34.5 cents per share on March 12

De.mem (DEM) has entered the week in a trading halt as it plans for an upcoming capital raise.

Currently, there are no details on how much the company is aiming to raise or where the funds will be spent.

Under the halt, DEM shares will be paused until Wednesday, March 17, or when more information about the raise is released to the market.

DEM is a water and wastewater treatment business that designs, builds, owns and operates its own systems for its clients.

Last month, the company won a $550,000 contract from AGL Energy (AGL).

Under the contract, DeM will deliver water treatment equipment to an Australian power station.

Earlier this month, the company released its consolidated financial report for the 12 months ending December 31, 2020.

The company reported an inaugural operating cashflow positive of over $544,000 in the December quarter of 2020. DEM delivered strong sales growth, with a more than 41 per cent increase in customer cash receipts to $16.5 million.

DEM ended the period with a strong balance sheet comprising $5.4 million in cash and term deposits.

On the market, DEM last traded for 34.5 cents per share on March 12.