Oversubscribed capital raising to drive deployment of AssetOwl’s inspector360 property management platform

Enterprise property management platform provider AssetOwl (ASX: AO1) has finalised a capital raising of $1.5 million through a two-tranche placement to new and existing investors.

The raising will be used primarily to scale the deployment capability of AssetOwl’s inspector360 photocentric property inspection management tool.

The cloud-based platform utilises proprietary virtual tour technology to create an internal view of a residential property for tenants and managers and can integrate with client reporting platforms PropertyTree and PropertyMe to improve the efficiency and quality of real estate inspections and sales.

Newly-appointed chief executive officer Geoff Goldsmith said the raising will help fuel a defining moment in AssetOwl’s history.

“The proceeds of this placement will support our business as we enter an exciting growth phase, helping us to achieve scale initially through a Western Australia rollout [of inspector 360] and then fund our expansion to the eastern states,” he said.

“With our first product now proven and in market, we will focus on building our customer base and pursuing complementary products and opportunities to meet market demand.”

Strongly oversubscribed placement

Originally targeting $1 million, AssetOwl’s capital raising was “strongly oversubscribed” and a decision was made to boost the amount being sought by an additional $500,000.

New and existing sophisticated and professional investors will receive up to 300 million new shares at a price of $0.005 per share.

Tranche 1 will issue 38 million shares to raise $190,000 before costs, while Tranche 2 will allow for a further 262 million shares to raise the remaining $1.31 million.

The second allotment will be subject to shareholder approval at a general meeting next month.

That meeting will also allow AssetOwl to seek approval for related parties and executives to acquire up to $120,000 of shares on the same capital raising terms to cover placement costs.

These would include major shareholder Tribis Pty Ltd, company directors Geoff Baldwin and Giuseppe Di Franco, company secretary Sean Meakin, and Mr Goldsmith.

Proceeds from the raising will also be used to fund marketing campaigns into new regions and provide working capital as the company expands its customer base.

Enhancing market appeal

Mr Goldsmith said AssetOwl had spent the past 12 months enhancing inspector360’s market appeal, with inclusions such as intuitive two-way video virtual inspections, an owner’s portal, automation of the report review and sign-off process, page and panorama captures, bank grade security, live syncing and data migration.

“We now have a market-leading product and our two recent customer wins with [WA-based] Thorp Realty and Attree Real Estate are testament to that fact,” he said.

New customer licence

Attree last week signed a customer licence to use inspector360, agreeing to pay a monthly fee for use of standard entry, exit and routine inspections as well as the new tenant and owner portals.

Inspection records from Attree’s 650 managed residential properties located primarily in Perth’s south-eastern suburbs are now hosted by AssetOwl and the agent’s inspector360 account has been integrated with its PropertyTree account.

“We identified Attree as a leader in the real estate sector and the type of firm we had to deliver a complete solution to, if we are to be successful,” Mr Goldsmith said.

“The addition of the owner’s portal was the final piece of that complete solution for all stakeholders in residential real estate management.”