Insights

Catapult (ASX:CAT) share price heads south on capital raising update

The sports analytics company’s shares can’t seem to catch a break this week.
The post Catapult (ASX:CAT) share price heads south on capital raising update appeared first on The Motley Fool Australia. –

The Catapult Group International Ltd (ASX: CAT) share price is dipping lower today following an update on its Share Purchase Plan (SPP).

At the time of writing, the sports analytics and wearables company’s shares are down 2.9% to $1.84.

Share Purchase Plan complete

According to its release, Catapult advised it has successfully completed its SPP following overwhelming support from shareholders.

Around 1,200 valid applications were received, totalling in excess of the original $5 million offer. However, management decided to increase the SPP’s offer size to approximately $8.5 million. This will result in around 4.2 million new ordinary shares being added to the company’s registry.

The issue price listed at $1.90 for each share, reflecting the same price paid by investors under the equity placement.

Catapult raised $36.4 million in an underwritten institutional placement late last month, with 24.5 million shares issued.

In total, the company received $44.9 million, consisting of both placements as well as the director placement (subject to shareholder approval).

The funds will be used in the strategic acquisition of leading sports software video solutions provider, SBG Sports Software (SBG). In addition, the remaining monies will be allocated towards accelerating Catapult’s growth strategy, investing in technology, product, and data science.

Normal trading of the SPP shares is expected to occur tomorrow, Wednesday 21 July.

Catapult CEO Will Lopes touched on the outcome of the SPP, saying:

I am extremely grateful for the support and loyalty of our retail shareholders who subscribed in strength for this SPP.

The funds raised from the SPP complement our recent successful institutional placement, enabling Catapult to accelerate its growth strategy. These are extremely exciting times for Catapult, and I look forward to the Company delivering on this accelerated growth strategy and our enormous SaaS growth opportunity.

About the Catapult share price

It’s been an interesting year for Catapult shares, having moved in circles since this time last year. Over the last 12 months, the company’s share price has increased by more than 30% but is relatively flat year-to-date.

On valuation grounds, Catapult commands a market capitalisation of roughly $414 million, with approximately 224 million shares outstanding.

The post Catapult (ASX:CAT) share price heads south on capital raising update appeared first on The Motley Fool Australia.

Should you invest $1,000 in Catapult right now?

Before you consider Catapult, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Catapult wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of May 24th 2021

More reading

Catapult (ASX:CAT) share price dips on acquisition
Brokers name 3 ASX shares to buy today

Why Catapult, Earlypay, Nuix, & Woolworths are tumbling lower

Why the Catapult (ASX:CAT) share price is down 12% today
Catapult (ASX:CAT) share price halted ahead of $57m capital raising

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Catapult Group International Ltd. The Motley Fool Australia owns shares of and has recommended Catapult Group International Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
Trade The US Market With ZERO Brokerage* + FREE Access To Trading Ideas & Value Analysis Tools. Click Here!