Splitit closes $10M SPP with $89.5M in applications

The company received $89.5 million worth of application from eligible shareholders for the SPP - it had only planned to raise $10 million through the offer.

As a result of the high demand, applications will have to be scaled back. Those who held between one and 500 shares at the record date will be issued 100 new shares. While, those who had over 500 shares, will receive 11.9 per cent of their application.

Over 7 million shares will be issued under the SPP later this month, with shares to be added to a quotation from September 25.

Meanwhile, Splitit CEO Brad Paterson has heartily thanked shareholders for their support.

"We are delighted with the overwhelming interest we received from our shareholders wishing to participate in the SPP and thank them for their support," he said. "The funds will enable us to accelerate our high-growth strategy," Brad added.

Along with the $10 million raised from the oversubscribed SPP, Splitit also raised an additional $90 million via a placement.

If the necessary shareholder approval is given to allow all the shares under the placement to be issued, it will give the company $100 million in capital to play with.

It's further good news for Splitit, who also announced this week that it had decided to team up with fellow fintech company Quickfee (QFE) to launch a new, interest-free product.

Shares in SPT have ended the week trading up 5.48 per cent, at $1.64 each.

Source: The Market Herald