Zoom2u Technologies (ASX:Z2U) Secures $500,000 to Drive Global Expansion of Locate2u

March 12, 2025 02:49 PM AEDT | By Team Kalkine Media

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Zoom2u Technologies (ASX:Z2U) Secures $500,000 to Drive Global Expansion of Locate2u — Image source: shutterstock

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Highlights

Strategic Capital Injection: $500,000 raised through a share placement at a premium price.

Growth-Focused Allocation: Funds to support Locate2u’s expansion and working capital.

Executive Confidence: Directors commit $150,000, reinforcing long-term vision.

Zoom2u Technologies (ASX:Z2U) has successfully raised $500,000 through a share placement, marking a significant milestone in its expansion strategy. The company secured commitments from wholesale investors to issue 7,142,856 ordinary shares at $0.07 per share, representing a 17% premium to the last traded price of $0.06 on March 7, 2025. This pricing also aligns with the 30-day Volume Weighted Average Price (VWAP) of $0.07, demonstrating strong investor confidence.

In addition to the new shares, each two shares issued will be accompanied by one free-attaching option with an exercise price of $0.09, set to expire on September 10, 2026. Company directors have committed to acquiring 2,142,856 shares worth $150,000, along with 1,071,428 options, subject to shareholder approval at an Extraordinary General Meeting scheduled for late April 2025. The remaining 5,000,000 shares will be issued under the company’s 15% placement capacity, in accordance with ASX Listing Rule 7.1.

Expanding Locate2u and Strengthening Financials

The capital raised is earmarked to bolster the company’s balance sheet while fueling the expansion of its Locate2u business. Locate2u, a cutting-edge logistics and delivery management platform, has been a key growth driver, attracting enterprise customers across various industries.

Over the past 12 to 18 months, the sales strategy has been focused on securing large enterprise clients within Australia. Among the high-profile businesses using Locate2u’s services are Winning Services, Amart Furniture, Bing Lee, Couriers By Demand, OnTime Group, Western Australia Return Recycle Renew, and Designer Transport. Moving forward, the company plans to expand its sales and marketing efforts to capture opportunities within the small and medium-sized business sector on a global scale.

Steady Revenue Growth and Profitability Goals

Zoom2u’s financial performance has shown resilience, with the company generating $3.2 million in revenue during the first half of FY25, reflecting a 10% year-over-year increase. Additionally, the company reported a positive EBITDA of $45,000 for the period, marking progress toward sustainable profitability.

Founder and CEO Steve Orenstein expressed confidence in the company’s growth trajectory, emphasizing that the new funds will further support its long-term vision. With a clear focus on scaling its technology-driven solutions and expanding its customer base, Zoom2u is positioning itself for continued success in the global logistics and delivery market.

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