14 December 2017
Dubber Completes $6.5 Million Placement with Institutional and Sophisticated Investors
Dubber Corporation Limited (ASX: DUB) is pleased to announce that it has received commitments for a $6.5 million capital raising placed with institutional and sophisticated investors. The capital raising will result in the placement of 17,143,572 new fully paid ordinary shares at an issue price of $0.35 per new share (with a further 1,428,572 subject to shareholder approval) under the Company’s current placement capacity in accordance with Listing Rule 7.1 (5,435,343 shares) and 7.1A (11,708,229 shares). The price of $0.35 meets the requirements of LR 7.1A.3 in being greater than 75% of the 15-day VWAP.
Settlement of the placement and issue of new shares is expected around Wednesday, 20 December 2017.
The placement was supported by existing shareholders and institutional investors. The funds raised will be used to further expand Dubber’s operations, particularly in North America and Europe where the Company is seeing strong demand for its services and a number of strategic agreements with tier one service providers reach anticipated full deployment in calendar 2018. The Company will also be adding additional staffing and strategic account directors as its cloud call recording and intelligence platform is fully integrated into BroadSoft’s BroadCloud Unified Communications delivery platform.
As part of the capital raising a significant portion was taken by entities managed by James Spenceley, an Australian telecommunications pioneer and founder of Australia’s largest fixed line Telco Vocus Group Limited.
“The adoption of cloud based IP telephony is accelerating globally, a pre-requisite of that successful transition is cloud based call recording. Dubber’s solution is simply world leading and solves a very real problem for Telcos and Vendors looking to transition their clients to the cloud. It is exciting to be able to support a home-grown technology business addressing a global market and validated by some of the world’s biggest telcos and telephony vendors” said Mr. Spenceley.
As part of the capital raising, Managing Director Steve McGovern has subscribed for 1,428,572 shares ($500,000.20) subject to shareholder approval.