National IT infrastructure services player ComputerCorp Ltd is seeking $6 million as part of its transition from a privately held West Perth firm to listing through shell company Etick Ltd.
The funds will be used to partly fund Etick's acquisition of the ComputerCorp business via Domenic Martino's Sydney-based TCB Investment Holdings Pty Ltd under an agreement signed in April this year.
ASX listed Etick is changing its name to ComputerCorp Ltd.
The fundraising, which was formally announced in the company prospectus which was released today, is to be achieved through the public issue of 24 million shares at 25 cents each, is not underwritten.
Shares in Etick have been suspended but they last traded at 2 cents, giving the company a market capitalisation of $1.6 million. ComputerCorp has announced its intention to apply for lifting of the trading halt on or before August 26.
According to the prospectus, the ComputerCorp business had made $3,000 in net profit in the first eight months of the 2006 financial year. The company had made a net profit for the 2005 financial year of $301,000, up from $278,000 the year before.
The business was sold in a deal worth more than $8 million on paper, giving the company's vendors $4.9 million in cash, 14 million Etick shares issued at 25 cents each and 2 million options exercisable at 20 cents each.
Domenic Martino, Kevin Dundo and Paul Page are lisrted as the directors of the listed entity.
RSM Bird Cameron are acting as auditors to the company, with Grant Thornton as an independent advisor. The offer will close on August 15, 2006.
