$10m Institutional Placement
- $10m raised at 14.5c per share
- Funds to be used to satisfy prudential Tier 1 capital requirements
The Placement was Jointly led and managed by Merchant Corporate Advisory and Petra Capital.
The new shares to be issued under the Placement will rank equally with existing fully paid ordinary shares in the Company. The Placement was conducted in accordance with ASX Listing Rule 7.1.
The expected date of issue of the securities is Monday, 8th October 2018.
Purpose / Use of Proceeds
The Company has recently applied to the Australian Prudential Regulation Authority (APRA) for Authority to carry on banking business as a Provider of a Purchased Payment Facility (PPF Provider) under the Banking Act 1959.
The $10m capital raising includes the capital requirements the Company anticipates will be required to satisfy the minimum prudential Tier 1 capital requirements for licensing of the Company's subsidiary, iSignthis eMoney (AU) Pty Ltd ("ISEMAU"), as a PPF Provider, a special class of Authorised Deposit-taking Institution (ADI) that are authorised to undertake a limited range of banking activities.
The conditions are anticipated to be similar to those imposed on Paypal Australia Pty Limited, being the only other PPF Provider ADI licensed by APRA.
The license application is still under review by APRA and may be subject to other conditions.
ISEMAU will also directly process and settle card payments as a scheme participant under the Reserve Bank of Australia's Payment Card Access Regime.
ISEMAU previously announced on the 18th July 2018 that it has been successful in entering into a Mastercard Principal License under the Access Regime(see Note below), and also previously announced on the 29th March 2018 its card acquiring agreement with American Express.
Resumption of Trading
As a result of this announcement, the Company will resume trading from the commencement of trading today.
About iSignthis Ltd
iSignthis Ltd (ASX:ISX) (FRA:TA8) is the global RegTech leader in remote identity verification, payment authentication and payment processing. iSignthis provides an end-to-end on-boarding service for merchants, with a unified payment and identity service via our Paydentity(TM) and ISXPay(R) solutions.
By converging payments and identity, iSignthis delivers regulatory compliance to an enhanced customer due diligence standard, offering global reach to any of the world's 3.5Bn 'bank verified' card or account holders, that can be remotely on-boarded to regulated merchants in as little as 3 to 5 minutes.
iSignthis Paydentity service is the trusted back office solution for regulated entities, allowing merchants to stay ahead of the regulatory curve, and focus on growing their core business.
iSignthis' subsidiary, iSignthis eMoney Ltd, trades as ISXPay(R), and is an EEA authorised eMoney Monetary Financial Institution, offering card acquiring in the EEA, Australia and New Zealand. ISXPay is a principal member of Visa Inc, Mastercard Worldwide and JCB, an American Express aggregator, and provides merchants with access to payments via alternative methods including Poli Payments, Sofort, Trustly, WeChat, AliPay and others.
Read more about the company at our website http://www.isignthis.com
For more information, please contact: firstname.lastname@example.org