- The Calmer Co (ASX:CCO) raises a fresh $700,000
- The company’s key shareholders have supported the convertible note issue
- CCO says the money gives it time to sit and strategise in the face of strong recent sales growth in the US and Australia
- The company recently reported a 70 per cent rise in domestic sales month-on-month
- Shares last traded at 0.7 cents
The Calmer Co (ASX:CCO) has confirmed its receipt of $700,000 in funding from existing shareholders.
The funds were raised via a convertible note issuance which allows the company enough capital to strategise into 2024.
The company has recently clocked strong sales growth in the US and Australia as we head into the sales frenzy time of year.
Domestic sales growth spurt
In fact, just last week, The Calmer Co logged domestic e-store sales growth of 70 per cent month on month.
That data related only to Australian sales, and does not include its ongoing sales via Amazon in the US.
The company will also continue to be a partner with the Fiji Rugby League, its branding will remain on associated iconography into 2026.
CCO’s kava-based health drink products are also set to roll out in Coles stores nationwide from January 2024.
Show of confidence
“[The receipt of $700,000 in funding] is an overwhelming vote of confidence in the business from our cornerstone shareholders,” CCO CEO Anthony Noble said.
“We believe this plan is in the interest of shareholders. It provides short term funding … while allowing the market time to evaluate the strong recent sales growth in both the USA and Australia.”
Mr Noble also pointed towards the imminent Coles Fijikava health drink rollout which could be a push towards anchoring the brand in Australian consumers’ minds.
The product is advertised as a naturally-sourced relaxant, imbued with the properties of the kava plant.
Mr Noble also flagged the company will need to raise more capital in the new year.
Shares last traded at 0.7 cents.