Education tech provider and consultancy Schrole Group has just raised $6 million ahead of its reverse listing on the Australian Securities Exchange.
The prospectus share offer closed early and was oversubscribed, according to the Perth startup that provides cloud software and consulting services to more than 200 schools in 32 countries.
The capital raising round gives it a market capitalisation of $11.7 million based on the 2 cent a share offer price.
“We are delighted with closing the offer early and receiving such strong investor support during our Australian and Asian roadshow, resulting in an oversubscribed offer,” said founder and managing director Rob Graham.
“Our software sales have improved year-on-year over the past three years despite having limited cash available and while further developing our products.”
The Schrole Group has three divisions — Schrole Connect, which is cloud software used for teacher recruitment; Schrole Cover, a cloud platform for casual staffing; and Schrole Develop, the training and consulting services arm.
The company, which mainly targets the international schools market, raked in $1.8 million of revenue for the 2016 financial year, leading to a $1.3 million net loss. The half year to December 2016 was similar, with $914,828 of revenue and a $750,014 net loss.
The startup will now float using the former real estate investment company Aquaint Capital’s place on the exchange and is scheduled to resume trading at the end of the month under its new code SCL.
The company was started in 2013 by Graham and Greg Smith, who were both formerly school principals.
“With a strong cash balance we are excited and focused on marketing Schrole’s products to drive revenues higher worldwide,” Graham said.