The placement to Australian and international investors involves in excess of 282 million shares at more than $0.012 each and will represent 24.6% of the company.
Blockchain Global a key investor
The key investor will be Blockchain Global Limited, which will provide First Growth with a strategic deal flow for Blockchain related investments.
Blockchain Global will also underwrite half of the company’s February 2018 options with an underwritten exercise price of up to $4.3 million.
First Growth Funds surged 105% to $0.035 on volume of more than 156 million in early afternoon trade.
The placement will launch the company into investments in Blockchain technology, assets or businesses.
Plan to establish Blockchain centre
After completing the placement, Blockchain Global has agreed to assist First Growth establish and operate a Blockchain centre in South Australia.
It will also provide First Growth with access to a pipeline of deal flow from its Australian and global networks.
Blockchain Global is a global pure-play Blockchain technology commercialisation and investment company.
Founded in 2014, the company’s investments have ensured year on year profitability.
Blockchain Global and strategic investors recently acquired a 40% interest in DigitalX (ASX:DCC), the world’s first listed Blockchain company.
First Growth Funds manages a portfolio of investments covering small and medium companies listed on the Australian Securities Exchange or seeking investment ahead of an initial public offering.