- Mach7 Technologies (M7T) has raised $23.4 million through a placement and institutional entitlement offer
- This is part of a greater capital initiative to raise a total of $34.8 million to fund the company’s recently-announced plan to buy Client Outlook
- Client Outlook is a Canada-based medical imaging specialist whose technology is set to compliment Mach7’s healthcare solutions
- The company will now progress the retail entitlement offer component to raise the remaining $11.4 million of the capital raise
- Company shares are up 8.07 per cent and are trading for 83 cents each
Mach7 Technologies (M7T) has completed the institutional placement and the institutional component of its entitlement offer announced earlier this week.
The placement and institutional entitlement offer raised $3.7 million and $19.7 million respectively, for a total of $23.4 million.
A total of 34.4 million new shares were issued under the placement and institutional entitlement offer with all new shares being issued at 68 cents each.
This forms part of Mach7’s greater capital initiative to raise a total of $34.8 million which, along with existing cash reserves, will be used to fund the purchase of Client Outlook.
Client Outlook is a medical imaging specialist based in Canada. Mach7 only announced its intention to buy up the company on June 10.
Mach7 considers the buy to be strategic as Client Outlook’s eUnity enterprise image viewing technology platform will complement its healthcare solutions and services.
“Mach7 is continuing a market disruptive, high growth journey, which has now been enhanced by our acquisition of Client Outlook,” CEO Mike Lampron said.
“We are excited by our growth potential and the immediate opportunities to improve patient outcomes and service delivery for our healthcare customers,” he added.
The company will now progress the planned retail entitlement offer component to raise the remaining $11.4 million of the capital raise.
Under the retail component, Mach7 will issue 16.8 million shares, also priced at 68 cents each.
Eligible retail shareholders can subscribe for one new share for every four shares they hold at 7:00 pm AEST on Friday, June 12.
The retail entitlement offer will open on June 17 and close on June 26 2020.
Company shares are up 8.07 per cent and are trading for 83 cents each at 11:24 am AEST.