Blackpearl opens retail offer after AUD $10.3m raise & US deal
Blackpearl Group has opened its retail entitlement offer at AUD $0.95 per share, following a AUD $10.3 million institutional raise led by Australian cornerstone investors ahead of its proposed listing on the Australian Securities Exchange as a foreign-exempt entity.
The retail component of the entitlement offer allows eligible shareholders to participate following the completion of the offer's institutional stage, which has attracted backing from prominent Australian institutional investors. This development comes as the company finalises its acquisition of US-based AI sales automation firm B2B Rocket, a transaction expected to raise Blackpearl's annual recurring revenue (ARR) to USD $17.5 million and set the direction towards a USD $50 million target.
Australian support
The institutional element of Blackpearl's accelerated non-renounceable entitlement offer (ANREO) and additional placement successfully raised AUD $10.3 million. The support from Australian investors is crucial as Blackpearl progresses its application for an ASX foreign-exempt listing, a move intended to broaden its investor base and reinforce its presence in the world's largest market for small and medium businesses.
Chief Executive Officer Nick Lissette said the offer aligned with the company's broader ambitions:
Blackpearl isn't in the habit of standing still. Investor demand has been clear and with Australian cornerstone support in place and our ASX pathway progressing, we're opening the retail window for eligible shareholders today. This is a rare moment - a New Zealand AI company acquiring a cutting-edge high growth US technology business, backed by Australian institutions and preparing for an ASX quotation. The raise materially broadens our investor base and strengthens our platform to scale in the world's largest SMB market.
Lissette stated that the opening of the retail offer reflects a significant step in Blackpearl's expansion strategy. The offer opened to eligible shareholders on Monday 18 August and will close on 25 August, giving participants the opportunity to subscribe at AUD $0.95 per share. Oversubscriptions will be permitted for those who fully take up their entitlement.
Acquisition and growth targets
Blackpearl's pending acquisition of B2B Rocket, an AI sales automation business based in the United States, is expected to close this week. The company projects that this acquisition will lift ARR to USD $17.5 million, with momentum towards USD $20 million as it maintains a long-term target of USD $50 million.
Lissette added:
We're not inching forward, we're leaping. With B2B Rocket closing this week, we're in striking distance of $20m and so we're now focused on our $50m target. This is the growth story NZ tech needs right now. It's proof that Kiwi innovation can scale - and compete - anywhere and signals that NZ Tech belongs in the big leagues globally and has what it takes to deliver.
Next steps for listing
Blackpearl targets its ASX quotation in approximately three months, contingent on the successful completion of a Tier 1 standard audit of B2B Rocket. The company sees institutional support from Australia as pivotal in this phase.
Lissette stated:
Australian institutional backing gives us more than capital; it gives us confidence and credibility as we scale.
Use of proceeds
Proceeds from the entitlement offer will be used to fund the B2B Rocket acquisition, support the scaling of Bebop's growth, integrate B2B Rocket and execute its go-to-market plan, enhance Blackpearl's Data Wholesale resources, and maintain a cash buffer for working capital purposes.
Lissette summarised the company's outlook:
We're not just building a bigger business, we're building a bigger playing field. This particular combination of capital, capability and opportunity doesn't come around often and we intend to use it to take New Zealand AI global.
