- Threat Protect Australia (TPS) has seen its shares soar after announcing a Hong Kong investor will become a major shareholder in the company
- The investor, Black Crane Asia Pacific Opportunities Fund, has purchased 32 million shares for $5 million
- Funds from the placement will be used for working capital
- TPS is up 36.4 per cent on the market and is trading for 15 cents apiece
Threat Protect Australia’s (TPS) shares have soared after Black Crane Asia Pacific Opportunities Fund has purchased $5 million shares in the company.
The Hong Kong-based investor will now become a substantial shareholder in TPS.
The company issued approximately 32 million shares at a price of 16 cents per share to Black Crane.
The shares issued will be following the company’s 15 per cent placement capacity.
Black Crane is a deep value fund manager with significant corporate finance expertise and is focused on small to mid-cap companies in the Asia Pacific region.
TPS provides 24-hour security solutions to Australian homes and businesses.
Funds from the placement will be used for general working capital.
TPS Managing Director Demetrios Pynes is pleased to have Black Crane as a substantial shareholder.
“Black Crane is a successful investor with a clear strategy of creating value by driving corporate events in undervalued high-quality companies,” Demetrios said.
“We look forward to working closely with Black Crane for the benefit of all TPS shareholders,” he added.
According to the security company, the Australian security business is highly fragmented and it believes the industry is conducive to consolidation, given its stable revenue streams and fixed infrastructure cost model.
TPS is up 36.4 per cent and shares are trading for 15 cents apiece at 12:57 pm AEDT.