- YPB Group has raised $3.6 million to accelerate its growth strategy
- Institutional, professional and sophisticated investors have subscribed for over 1.27 billion shares at 0.283 cents each
- YPB plans to use the funds to pursue agreements with new and existing channel partners, allowing the company to build a large customer base with substantial profit potential
- YPB is currently focused on growing its footprint in the Australian, South East Asian and Chinese markets in industries such as alcohol, cannabis, cosmetics and dairy which are affected by counterfeit products
- YPB Group is trading 25 per cent lower at 0.3 cents per share
Product authentication and consumer engagement solutions provider YPB Group has raised $3.6 million to accelerate its growth strategy.
Institutional, professional and sophisticated investors have subscribed for over 1.27 billion shares at 0.283 cents each.
Each share comes with one free attaching option exercisable at 0.5 cents within 12 months of the date of issue.
Shareholder approval was obtained for the placement in late July, with over 1.06 billion shares requiring the approval, and the remainder issued under the company’s existing placement capacity.
YPB still requires shareholder approval for the attaching options.
EverBlu Capital acted at the Lead Manager for the raise and will take a 6 per cent cut of the final proceeds.
EverBlu will also be issued just shy of 100 million shares and 277 million options, pending shareholder approval.
YPB Group CEO John Houston says the strong support is a stamp of approval for the company’s strategy.
“This investment from professional and institutional investors represents a strong vote of confidence in our growth strategy and provides significant financial flexibility to aggressively pursue our reinvigorated focus of leveraging channel partners in high-volume industries,” John said.
The funds raised will give YPB the financial flexibility to pursue agreements with new and existing channel partners, allowing the company to build a large customer base with substantial profit potential.
The theory behind the strategy is to leverage partners with existing customers
in need of YPB’s solutions to multiply sales resources in the hope of bringing in high sales volumes and recurring opportunities.
YPB is currently focused on growing its footprint in the Australian, South East Asian and Chinese markets in industries such as alcohol, cannabis, cosmetics and dairy which are affected by counterfeit products.
YPB Group is trading 25 per cent lower at 0.3 cents per share at 3:45pm AEDT.