Archtis Ltd Accelerates Growth Initiatives With A $ 8 Million Fund Raising

archTIS Ltd has received firm commitments from national and international institutions as well as sophisticated investors to raise AU $ 6.5 million through a strongly backed placement at an issue price of AU $ 0.23 per action.

The company is also offering eligible shareholders in Australia and New Zealand the opportunity to participate in a share purchase plan (SPP) to raise an additional AU $ 1.5 million on the same terms as the placement.

Notably, the fundraising will be used to expand archTIS’s product offering and geographic reach into key US and UK markets, to continue to execute its M&A strategy and build on an existing relationship with Microsoft through IP Co. – sell opportunities.

“Support strategic efforts”

ArchTIS Managing Director and CEO Daniel Lai said: “We are delighted to see such strong demand from national and international institutions following our recent decision to be listed on the OTCQB market.

“A diverse shareholder base strengthens our strategic efforts to advance our information security technologies in the United States and around the world.

“By expanding our reach in the market with Kojensi, NC Protect and cp. Protect, we plan to build on our success with Australian Defense in other geographies and accelerate the pipeline through our alliance with Microsoft IP Co-sell. archTIS is now well positioned to implement our overall product and sales strategy.

Location summary

archTIS has received firm commitments for a placement of 28,260,870 fully paid ordinary shares.

Participants in the capital increase will also have the right to receive an option (exercisable at A $ 0.35, expiring two years from the date of issue) for each tranche of three shares acquired under the placement and of the SPP.

The issue price for the placement and the SPP of 23 cents per share represents a 13.2% discount from the ASX’s last closing price on November 9, 2021.

amicaa Advisors acted as lead manager and bookrunner for the placement.

Use of funds

The funds raised will be used to build on previous successes with the Australian Department of Defense through the launch and introduction of Kojensi in key regional markets of the US FED and UK.

The company will also continue to explore and execute a proven M&A strategy that drives product, customer and geographic expansion towards greater ARR.

Additionally, archTIS will build pipeline and close opportunities in collaboration with Microsoft domain via IP Cosell across Defense and other regulated industries.

About the company

archTIS is a global provider of innovative software solutions for the secure collaboration of sensitive information.

The company’s award-winning data-centric information security solutions protect the world’s most sensitive content across government, defense, supply chain, enterprise and regulated industries through Attribute-Based Access and Control (ABAC) policies.

ArchTIS products include Kojensi, a multi-government certified platform for secure access, sharing and collaboration of sensitive and classified information.