Company Name: Linius Technologies
Announcement Date: 24/04/2020
Announcement Category: Investment
Melbourne, Australia – April 24, 2020: Linius Technologies Limited (ASX: LNU) – the only cloud-based solution that transforms static video into hyper-personalized video experiences with its world-first Video Virtualization Engine™ (VVE) – has received firm commitments from professional and sophisticated investors to raise $1.7 million, before costs (Placement).
The Placement includes an approximately $250,000 investment from Linius directors, subject to shareholder approval, which will be sought at a General Meeting of shareholders to be held as soon as practicable.
The Placement received strong support from new investors together with existing shareholders.
The Placement will result in the issue of 154,545,450 fully paid ordinary shares at $0.011 per share to raise $1.7 million, before costs. The Placement will be conducted within the Company’s existing Listing Rules 7.1 placement capacity for 131,818,180 shares and pursuant to LR 10.11 for 22,727,270 shares in respect of share subscribed for by directors. The issue price represents a discount of 20% to the 30-day VWAP.
The Company will use the proceeds of the Placement to drive revenue growth.
The Company is specifically focused on converting existing clients and near-term opportunities to immediate and sustainable revenues.
In the current economic and social conditions, the recent LiveTiles win is an important factor. Video conferencing has become a critical requirement, enabling working from home and Business Continuity Planning (BCP) strategies. Assisting LiveTiles in selling their Intelligent Meeting Solution, of which Linius is the backbone OEM provider, represents a significant opportunity for Linius, as does the broader video conferencing industry.
The Company believes it has the technology suite in place, with the IP protected by granted patents, to deliver recurring revenue growth. At the same time as the Company is focussed on execution of its go to market strategy, it has continued to reduce monthly expenditure.
These funds provide the Company with additional runway to execute on its strategy. The Placement (excluding director participation) is scheduled to settle on 4 May 2020.
Blue Ocean Equities Pty Limited (AFSL 412765) acted as lead manager for the Placement.
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THIS ANNOUNCEMENT WAS MADE BY THE TECHBOARD TEAM FROM A PRESS RELEASE ISSUED BY LINIUS TECHNOLOGIES
Announcement URL: http://linius.com
About Linius Technologies:
Linius Technologies Limited (ASX: LNU) has cracked the code of content intelligence and created the next evolution of video streaming. We transform cumbersome, static video files into agile, dynamic files that can be easily manipulated on the fly, in order to deliver an enhanced, custom experience for both broadcasters and end-users in any way imaginable, and some as yet to be imagined.
Go to Company Profile for: Linius Technologies
Announcement Contact: [email protected]