Goldfields raises funds for new platform

Financial services provider Goldfields Money has raised $4.2 million from investors as it launches a new digital platform and completes a rebranding.

Perth-based, ASX-listed Goldfields raised the funds through the placement of 4.5 million shares at 95 cents each to new and existing investors, with the price representing a 3 per cent discount to the company’s 20-day volume-weighted average price.

Chief executive Simon Lyons said the funds raised would be used for the implementation of a new core banking system, with the digital platform expected to go live in the first quarter of the 2018 financial year.

“The funds will go toward completing the digitalisation of the back office and transitioning to a new core banking platform to enable more effective third-party distribution of our financial service products through new and existing partnerships,” he said.

“The funds will also complete a rebrand, increase the Tier 1 common equity capital to facilitate more growth in the loan portfolio and add to the company’s working capital.

“The company’s exciting and progressive rebrand is scheduled for mid-year and supported by extensive market research.

“It has been developed to support delivery on growth targets, connect with customers into the future and reflect a more sophisticated digital offering.”

Shaw and Partners acted as lead manager to the raising.

Goldfields shares were 2 per cent higher to $1.01 each at 11:30am.