Scalare Partners’ ready to list on ASX after ASIC issues resolved
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The news: Scalare Partners, a tech startup investor and adviser, is set to proceed with its ASX listing in October 2024 after the Australian Securities and Investments Commission (ASIC) revoked interim stop orders on the company's prospectus and target market determination (TMD).
The numbers: The company, which is pursuing a reverse takeover of confectionery firm Candy Club, aims to raise up to $8 million for a market capitalisation of approximately $26 million.
Scalare claims to have delivered a 298% total return since its inception in 2020. The company has made 27 total startup investments, averaging eight investments per year. The proposed deal values Scalare at $26.5 million.
The context: ASIC had previously issued two interim stop orders on Candy Club, preventing it from offering or issuing securities for 21 days. The regulator raised concerns about inadequate disclosure in the float prospectus and deficiencies in the TMD. These issues have now been resolved, according to Scalare's chief executive and co-founder Carolyn Breeze.
The ASX had also previously expressed concerns about Scalare's business model and historical cash revenues, which Breeze says have been addressed.
What they said: "We responded to ASIC within 24 hours and we verbally got the green light [last Thursday]," Breeze told Capital Brief in an interview on Friday. "We should be up and live [this] week."
The source: Scalare Press Release
