MyFiziq (ASX:MYQ) announced today that it has completed a substantially oversubscribed $5M capital raising.
It is one of the highlights of a strong week for funding and payments made to the company, putting MYQ in the best financial position it has been in for years.
“The week has closed out on a very positive note, with the capital raising oversubscribe placing $5,000,000 into the MYQ account, this was further enhanced with inflows from our US NASDAQ initiative funding, Government R&D reimbursements, a license payment from BCT and partner revenues. This totalled a further $1,504,977 of inflows to the company. I am pleased to say the company is in the best financial position it has been in for the past few years, with ample capital to accelerate growth and execute on our NASDAQ initiatives,” MYQ CEO Vlado Bosanac said.
MyFiziq has developed and patented a proprietary dimensioning technology that enables its users to privately and accurately check, track, and assess their dimensions using only a smartphone.
The app aims to assist MYQ’s partners in empowering their consumers to lead a healthier life, by understanding the risks associated with their physical condition and tracking the changes they are experiencing through training, dieting, or under medical regimes. Additional uses include the ability to be correctly sized for a garment when shopping online. The MyFiziq technology delivers this seamlessly, privately, and cost-effectively in under one minute.
A full understanding of how the tech works and what MYQ does for clients and consumers can be found in the following WiseOwl research report.
Breaking down the numbers, MYQ received a payment of US$375,000 (A$523,000) by way of convertible note subscription deed with iConcept Global Growth Fund.
The funds have to do with the Convertible Note funding agreement with Asia Cornerstone Asset Management (ACAM), who is assisting MYQ with its NASSDAQ listing.
MYQ was to receive a total of US$1.5M in 4 tranches, with an initial US$1.1M already received from ACAM. Under a deed of variation, ACAM has set aside the final payment allowing IGGF to take the balance US$375,000 which has now been paid.
As we reported in June, ACAM played a significant role in the introduction of advisors, US law firms and bankers through its extensive network in the US, with regard to MYQ’s potential dual listing.
Further funds this week have come from a license payment from Body Composition Technologies Pte Ltd (BCT) of $121,794 and partner revenues of $70,706.
BCT is working with MYQ to develop and commercialise the MyFiziq application for the medical and insurance sectors, allowing an up-to-date record of the patient’s body shape and body composition to be directly available to the participant and to their medical practitioner’s or insurer’s records.
Earlier in the year, BCT deployed its first commercial partner in Hong Kong with The CareVoice.
MYQ also received the largest R&D funding reimbursement to date, totalling $784,412.
The increased R&D payment is a direct outcome of the deep expansion of capabilities MYQ has delivered over the past year.
The new functionality and added performance of the application is an ongoing requirement MYQ’s development team, who will continually be involved to ensure the technology is best in class.