Publicly listed Spirit Technology Solutions has raised $5 million that will go towards acquisition activity.
The $5 million was secured via a two-tranche convertible note placement with tranche two subject to shareholder approval.
According to Spirit, the placement was strongly supported by a suite of a dozen business leaders in the cyber security and managed services sectors who have joined to invest in and accelerate Spirit’s growth.
Tranche One ($1.25 million) will support due diligence and acquisition evaluation costs as well as working capital for the business. Tranche Two ($3.75 million) will go towards due diligence and legal costs relating to evaluated acquisitions; integration planning and support costs as well as working capital.
“The backing of prominent cyber security and managed security leaders validates our refined market strategy, focused on addressing key business challenges,”Spirit managing director and CEO Julian Challingsworth said.
“This support marks the evolution of our company and will allow us to accelerate our growth strategy with Spirit looking to secure acquisitions to grow in the secure, sustainable and scalable space. Together, these initiatives underline our overall goal of becoming one of Australia’s leading providers of modern and secure digital workplaces.”
In May, Spirit undertook an organisational restructure, targeting three “key high growth areas” in security, sustainability and scale.