Australian cloud services provider Bulletproof today announced an AU$4.3 million capital-raising effort, with the company's CEO Anthony Woodward indicating that the extra funds would allow it to respond "decisively" to acquisition opportunities.
"Our motives for going through the process were very much driven by interest in the company and it gives us a stronger balance sheet position, and we can act decisively on any acquisition opportunity that may come up," Woodward told ZDNet.
The company told its shareholders today that it had successfully completed an institutional placement of 14,248,700 ordinary shares in the company, following a share trading halt on Thursday, at AU$0.30 per share — raising approximately AU$4.27 million.
"The placement brings a number of new institutional and sophisticated investors onto the register, and will provide additional working capital for the company as we continue to grow aggressively in a high-growth market," Bulletproof told investors in a statement.
The settlement of the share placement is expected to occur on Thursday.
"The increased financial strength and flexibility will also allow Bulletproof to respond to any small acquisition opportunity that might present itself, where it would be in the best interests of the company," said Bulletproof.
In August, the local Amazon Web Services (AWS) premier consulting partner published its annual full-year results, announcing revenue growth to AU$18.3 million, a 29 percent increase compared to the previous year's results, along with a 31 percent boost in underlying earnings (EBITDA) to AU$2.9 million.
Woodward told ZDNet at the time that much of that growth was driven by increased revenue from its managed AWS services.
Bulletproof, which completed a reverse takeover of mining company Spencer Resources, and listed on the Australian Securities Exchange in January, signed cloud contracts with a number of big-ticket companies during FY14, including Mazda and Olympus Australia.