MELBOURNE, Australia, April 27, 2021 /PRNewswire/ -- In the past 12 months, Australian listed companies undertook more than 1000 individual raises. For investors who got in via raises in April 2020 and held, the median return was 23.21% with the average sitting at over 90%.
Fresh Equities has helped investors access over 60% of these raises and discusses how placements have helped investors access this growth potential.
CEO Ben Williamson reflects on the velocity of emerging company growth during the pandemic while looking forward to the opportunities the changing investor landscape brings to Australian business.
"More than 760 Australian companies raised capital in 2020 despite the pandemic. Fresh Equities has accessed more than 60% of these, providing more opportunities for investors to be a part of the Australian growth story," Williamson says.
View live raises and past raises and be notified about upcoming capital raise opportunities at https://www.freshequities.com/live-capital-raises
"Fresh has helped investors get access to hundreds of transactions over the past year, with a focus on individual longer term, sophisticated investors looking to back smaller Australian companies they see growth and value in. This has paid off - the weighted average return from our capital raises over the past 12 months for investors who held was ~23%."
With low yields and more favourable prices for investors, placements - a form of capital raising - are becoming a preferred option for ASX listed companies looking for funds to acquire or expand their operations.
"Placements are an under-appreciated way to take a position in a listed company and can prove a lucrative move for anyone who invests. They're a great point-in-time for investors to assess a company's prospects and typically get in at a favourable price in a company's share price cycle."
Placements have enabled Australian businesses like OpenPay (OPY.AX), PayGroup (PYG.AX), Lake Resources (LKE.AX) and Silver Mines (SLV.AX) to explore, expand, acquire and automate. They're usually offered exclusively to institutional investors by brokers and lead managers, something Williamson and co-founder and Chief Product Officer Rhys Davis, set out to change with Fresh Equities:
"We started Fresh to empower all qualified investors to access deal flow usually reserved for institutional investors. These investors are putting forward their own cash, are focused on absolute returns and tend to buy on higher conviction. Our purpose is based on giving direct access to these investors so they can find and invest in growth companies they believe in."
About Fresh Equities
Fresh Equities gives investors direct access to ASX-listed companies raising capital. We participate in more than 400 transactions a year. Find out more about Fresh, placements or view our company research and resources at freshequities.com.