My ATM banks $1 million for iWebgate Technology acquisition

Wednesday, March 19, 2014 by Proactive Investors

My ATM Holdings (ASX: MYA) has completed a placement of 25 million new shares to sophisticated investors, raising $1 million at $0.04 per share.

In December last year, MYA entered into a Heads of Agreement to acquire iWebgate Technology, which controls patented software for data transfer security.

This could be integrated into ATM networking and information sharing, and may be particularly useful with cloud computing applications.

Since the acquisition was announced, MYA shares have risen tenfold to a high of $0.06, from $0.006, and last traded at $0.056.

As part of the transaction, MYA was required to advance $1 million to iWebgate, which it finalised in January.

Accordingly, the $1 million raised from this placement will be used to replenish MYA’s cash balance as it works towards completion of the acquisition.