- NSX (NSX) has successfully completed a $3 million capital raise, but didn’t raise enough to advance its share in the ClearPay joint venture with iSignthis
- NSX needed to raise more than $3.5 million to advance its ClearPay share to a 50 per cent stake, so the company instead retains a 41 per cent share
- The company will now use the funds to advance its trade acceptance service (TAS) platform, which will enable live trading akin to that on the ASX, with the aim to go live by August
- The remainder of the funds will be used for marketing and working capital
- NSX closed Thursday’s session 4.55 per cent higher at 11.5 cents per share
Emerging ASX competitor NSX has completed a $3 million capital raise, but didn’t raise enough to advance its share in the ClearPay joint venture with iSignthis.
NSX needed to raise funds in excess of $3.5 million to advance its ClearPay share to a 50 per cent stake, so the company instead retains a 41 per cent share.
The placement shares were issued at a price of 9.1 cents each to sophisticated and professional investors.
The placement had been approved by shareholders at a meeting on April 30, with the money raised aimed at several key NSX targets.
The company will now use the funds to advance its trade acceptance service (TAS) platform, which will enable live trading akin to that on the ASX, with the aim to go live by August.
The remainder of the funds will be used for marketing and working capital.
NSX Managing Director John Karantzis says the capital raised will still move the company forward, despite the ClearPay shortfall.
“The company is delighted with the support from existing and new shareholders during this difficult time,” John stated.
“The result ensures that the company will be able to act upon the projects as previously advised to shareholders except for the additional investment into the ClearPay joint venture,” he added.
NSX advises there is still a chance the company will buy in for the 50 per cent stake of ClearPay at some point, but this will be decided as per the independent valuation and formula set out in the shareholder agreement.
NSX closed Thursday’s session 4.55 per cent higher at 11.5 cents per share.