WHK
Whitehawk Limited
ASX
Update - Proposed issue of securities - WHK
Sentiment:
Capital Raise Announcement
1 December 2024 9:21 PM
WhiteHawk Limited announced an update to its previous announcement regarding a proposed issue of 120,000,000 shares and 40,000,000 placement options, revising the issue date to January 28, 2025, pending shareholder approval.
Delay expected
The issue date for the shares and placement options has been delayed pending shareholder approval, which is expected by January 28, 2025.
Capital raise
WhiteHawk Limited is raising capital through the issue of 120,000,000 ordinary shares at AUD 0.01000 each and 40,000,000 placement options.
The capital raise is subject to shareholder approval by January 28, 2025.
Summary
- WhiteHawk Limited is issuing 120,000,000 ordinary shares at AUD 0.01000 each.
- They are also issuing 40,000,000 placement options, free-attaching with every 3 shares, exercisable at AUD 0.0200 each, expiring January 28, 2028.
- The issue is subject to shareholder approval by January 28, 2025.
- The funds raised will be used for business growth, further development of AI-based cybersecurity solutions, repaying amounts owed to Lind Global Fund II LP, and supporting working capital.
- CoPeak Pty Ltd is the lead manager/broker, receiving a 2% management fee and a 4% capital raising fee, plus 10 million options and 6 million shares.
- 77,589,397 shares and 42,410,603 shares are being issued without shareholder approval under ASX Listing Rules 7.1 and 7.1A respectively.
- The company chose a placement for efficient capital raising, minimizing execution risks and allowing flexibility to attract strategic investors.
Sentiment
Score: 6
Explanation: The announcement is neutral, outlining a planned capital raise with some positive aspects (efficient method, attracting strategic investors) but also significant risks (shareholder approval, fees).
Highlights
- 120,000,000 ordinary shares are being issued at AUD 0.01000 each.
- 40,000,000 placement options are being issued, free-attaching with every 3 shares subscribed.
- Placement options have an exercise price of AUD 0.0200 and expire on January 28, 2028.
- Shareholder approval is required by January 28, 2025.
- Funds raised will support business growth, AI cybersecurity solutions development, debt repayment, and working capital.
- CoPeak Pty Ltd is the lead manager/broker, receiving fees including shares and options.
- 77,589,397 shares and 42,410,603 shares are being issued without shareholder approval under ASX Listing Rules 7.1 and 7.1A respectively.
Positives
- The placement offers an efficient method of capital raising suited to current market conditions.
- This approach minimizes execution risks and allows flexibility to attract strategic investors.
- It ensures timely access to necessary funds while effectively managing dilution.
- Funds raised will support business growth and development of AI-based cybersecurity solutions.
Negatives
- The issue is subject to shareholder approval, which could delay or prevent the capital raise.
- There are significant fees and costs associated with the placement, including shares and options issued to the lead manager/broker.
Risks
- Shareholder approval is not guaranteed and could delay or prevent the capital raise.
- The success of the capital raise depends on market conditions and investor appetite.
- The company's reliance on the lead manager/broker introduces counterparty risk.
Future Outlook
The successful completion of the capital raise will support WhiteHawk's business growth and the development of its AI-based cybersecurity solutions. The issue date is contingent upon shareholder approval by January 28, 2025.
Management Comments
- The Company chose a placement as it offers an efficient method of capital raising suited to current market conditions.'
- This approach minimizes execution risks, allows flexibility to attract strategic investors, and ensures timely access to necessary funds while effectively managing dilution.'
Industry Context
This announcement reflects the ongoing need for capital in the rapidly evolving cybersecurity industry, particularly for companies developing AI-driven solutions. The use of a placement rather than a pro rata issue suggests a focus on attracting strategic investors and potentially minimizing dilution for existing shareholders.
Next Steps
- Obtain shareholder approval by January 28, 2025.
- Issue the shares and placement options after shareholder approval.
- Utilize the funds raised for business growth, AI cybersecurity solutions development, debt repayment, and working capital.
Key Dates
- 26/11/2024: Date of previous ASX announcement
- 2/12/2024: Date of this announcement
- 28/1/2025: Date for determination of shareholder approval and proposed issue date
- 28/1/2028: Expiry date of placement options
Keywords
WhiteHawk Limited, Capital Raising, Placement, Share Issue, Options, Shareholder Approval, Cybersecurity, AI, ASX Listing Rules
WHK
Whitehawk Limited
ASX
Sector: Software & Services
Filings with Classifications
Capital raise
17 April 2025 12:02 AM
Notice of Annual General Meeting
- The company is seeking approval to issue future shares to Lind Partners under the 2024 Agreement.
- The company is seeking approval of a 7.1A mandate to issue up to 10% of the company's issued capital.
Capital raise
28 March 2025 12:03 AM
Annual Report
- The company has the ability to continue to raise additional funds on a timely basis pursuant to the Corporations Act 2001.
Worse than expected
28 March 2025 12:03 AM
Annual Report
- The company reported a net loss after tax of US$1,780,630, indicating that the company is not yet profitable.
Better than expected
27 February 2025 4:04 PM
Preliminary Final Report
- The company's revenue increased by 15.6% compared to the previous year.
Capital raise
10 February 2025 5:54 PM
General Meeting Results
- The company received approval to issue Tranche 2 placement shares.
- The company received approval to issue placement options.
- The company received approval to issue broker options.
- The company received approval to issue securities to Peak in lieu of fees.
- The company received approval to issue securities to Viaticus Capital.
- The company received approval to issue incentive options to Viaticus Capital.
Worse than expected
30 January 2025 4:18 PM
Quarterly Activities Report
- The company reported a net cash loss from operations of US$84,000 for the quarter, indicating worse than expected financial performance.
Capital raise
30 January 2025 4:18 PM
Quarterly Activities Report
- WhiteHawk will seek shareholder approval to raise up to $535,000 under Tranche 2 of the Placement at the General Meeting scheduled on 11 February 2025.
Capital raise
9 January 2025 7:37 PM
Notice of General Meeting
- The company is seeking approval to issue up to 53,500,000 shares at $0.01 each, potentially raising $535,000.
- The company is also issuing options to placement participants, brokers, and consultants, which could lead to further capital raises if exercised.
Better than expected
12 December 2024 6:42 PM
Contract Renewal Announcement
- The contract renewal represents increased revenue compared to the previous contract with the same client.
Capital raise
1 December 2024 9:21 PM
Capital Raise Announcement
- WhiteHawk Limited is raising capital through the issue of 120,000,000 ordinary shares at AUD 0.01000 each and 40,000,000 placement options.
- The capital raise is subject to shareholder approval by January 28, 2025.
Delay expected
1 December 2024 9:21 PM
Capital Raise Announcement
- The issue date for the shares and placement options has been delayed pending shareholder approval, which is expected by January 28, 2025.
Capital raise
1 December 2024 9:10 PM
Securities Quotation Application
- Further share issues are planned to complete the placement, subject to shareholder approval.
Capital raise
25 November 2024 5:28 PM
Capital Raise Proposal
- WhiteHawk Limited is proposing to issue 56,000,000 ordinary shares and 28,666,667 options.
- The funds raised will be used for business growth, further development of AI-based cybersecurity solutions, debt repayment, and working capital.
Capital raise
25 November 2024 5:28 PM
Capital Raise Announcement
- Further capital raising is planned, subject to shareholder approval, involving the issuance of additional shares and options.
Better than expected
25 November 2024 5:28 PM
Capital Raise Announcement
- The successful A$1.7 million capital raise exceeded expectations, providing WhiteHawk with the resources to pursue its growth strategy and repay debt.
Capital raise
21 November 2024 5:13 PM
Trading Halt Announcement
- WhiteHawk Limited is planning a capital raising.
Capital raise
12 September 2024 6:19 PM
Notice of General Meeting
- Resolution 1 seeks ratification of a prior share issue of 15,000,000 shares to Lind Partners.
- Resolution 2 proposes issuing 12,500,000 options to Lind Partners.
- Resolutions 3 and 4 seek approval for future share issuances to Lind Partners.
- Resolution 5 proposes issuing 200,000 shares to related party Phil George.
Capital raise
6 August 2024 7:37 PM
Capital Raise Announcement
- WhiteHawk has secured an initial A$500,000 investment from Lind Global Fund II, LP.
- The Investment may be increased up to A$1M at a later stage on the same terms subject to mutual agreement.
- The company will issue 12,500,000 unlisted 3-year options to Lind at a 2c exercise price, subject to shareholder approval.
Delay expected
31 July 2024 1:45 AM
Quarterly Activities Report
- The final award of Peraton's bid for the Veterans Affairs Supply Chain Risk Management (SCRM) contract is delayed.
- The contract competition with D&B on the U.S. General Services Administration (GSA) SCRIPTS BPA Contract Vehicle has been delayed.
Capital raise
31 July 2024 1:45 AM
Quarterly Activities Report
- The Company is currently exploring funding options in the market in the event of delay of pending new contracts.
Capital raise
3 April 2024 10:34 PM
Notice of Annual General Meeting
- The company is seeking approval to issue up to 44,444,445 Placement Options to placement participants.
- The company is seeking approval to issue up to 17,777,778 Lead Manager Options to Alpine Capital.
- The company is seeking approval to issue up to 12,500,000 Consultant Options to Viaticus Capital.
- The company is seeking approval for a 7.1A mandate, allowing the company to issue equity securities up to 10% of its issued capital.
Delay expected
27 March 2024 8:34 PM
Annual Report
- The final award of Peraton's bid for Veterans Affairs Supply Chain Risk Management (SCRM) was delayed by 5 months.
- A Critical Infrastructure Cyber Risk Assessment (CIRA) Program contract for USD $1.9M, for State and Local client via Peraton delayed in procurement and State Legislature.
Worse than expected
27 March 2024 8:34 PM
Annual Report
- The company reported a net loss after tax of US$2,844,279, which is worse than the previous year's loss of US$1,537,740.
Disclaimer: This summary was generated by artificial intelligence and its accuracy is not guaranteed. The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.