- Jaxsta (JXT) has successfully completed its $2.7 million share placement to sophisticated and professional investors
- Funds will be used to promote the Jaxsta Pro subscription service and to accelerate the launch of Jaxsta’s big data solutions offering
- Additionally, Jaxsta has announced a share purchase plan (SPP) for eligible shareholders to apply for up to $30,000 each
- The placement is scheduled for December 17 and the share purchase plan booklet highlighting its details will be dispatched around January 10 2020
- Despite the news, Jaxsta’ shares have plummeted 18.9 per cent today, with shares trading for 17.5 cents each
Jaxsta (JXT) has successfully completed its share placement to sophisticated and professional investors raising roughly $2.704 million gross proceeds.
The placement was priced at 18 cents per share representing a 16 per cent discount to the closing price of Jaxsta shares on December 6 2019.
The music technology company will issue 15,023,329 fully paid ordinary shares pursuant to its 15 per cent placement capacity.
Funds from the placement will be used to develop and promote the Jaxsta Pro subscription service and to accelerate the launch of Jaxsta’s big data solutions offering, e.g. bespoke APIs.
Jaxsta Pro is the company’s business-to-business subscription service for music industry professionals.
In October, the company commenced a soft launch for the platform and includes features only available to paid users.
Jaxsta offers free 30-day trial memberships for Jaxsta Pro software in hopes to gain user adoption. It also offers every person connected with the music industry an equal opportunity to expand their profile.
The placement is scheduled to occur on December 17, with new shares to be issued and commence trading on the following day.
Additionally, Jaxsta has announced a share purchase plan (SPP) which will be offered at the lower of 18 cents per share, being the same issue price as the placement and at a 1 per cent discount to the volume-weighted average price of shares traded during the five ASX trading days surround the SPP.
The SPP will allow eligible shareholders to apply for up to $30,000 in new shares without having to pay brokerage or transaction costs.
Further details of the SPP will be sent on or around Friday, January 10 2020.
Despite the news, Jaxsta’ shares have plummeted 18.9 per cent today, with shares trading for 17.5 cents each at 3:19 pm AEDT.