Australian Stock Exchange-listed Frontier Digital Ventures Ltd (FDV), a leading operator of online classified businesses across emerging markets, has raised A$11.2 million ($8.4 million) through an institutional entitlement offer. It is set to raise an additional A$3.2 million ($2.4 million) via a fully underwritten retail entitlement offer scheduled to open on May 31.
The oversubscribed institutional offer saw new and existing investors buy new fully paid ordinary shares at A$0.65 ($0.48) apiece.
“The success of the institutional component of the entitlement offer is a clear vote of confidence in FDV’s team and business model from the institutional and sophisticated investor community,” said FDV founder and CEO Shaun Di Gregorio.
In the upcoming retail offer, entitled retail shareholders from Australia or New Zealand will be able to subscribe for 1 new share for every 10 paid ordinary shares in FDV at A$0.65 per share ($0.48).
FDV holds stakes in 15 online classifieds operating companies across the property, automotive and general classified verticals. The company aims to plough back proceeds from the entitlement offers into its businesses.
“We are focused on efficiently deploying the capital raising proceeds towards increasing our ownership in existing tier 1 operating companies and accelerating their development,” said Gregorio.
FDV’s portfolio companies include iMyanmarHouse and CarsDB in Myanmar, Propzy in Vietnam and Hoppler in the Philippines.
Bell Potter Securities Ltd and Morgans Corporate Ltd acted as the underwriters for the institutional entitlement offer.