The MyFiziq Ltd (ASX: MYQ) share price has fallen lower today following the release of an update for its cash inflows.
At the time of writing, the software company's shares are down 2.22% to $1.32. In comparison, the All Ordinaries Index (ASX: XAO) is flat at 6,413 points.
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Strong inflow of funding and payments
MyFiziq updated the market with an overview of its funding and payments for the past few months. Here is a breakdown of its latest developments.
As announced earlier this week, MyFiziq has received firm commitments to raise $5 million from an oversubscribed capital raising.
On June 1, MyFiziq entered a convertible note funding agreement with Asia Cornerstone Asset Management (ACAM). Under the agreement, MyFiziq was due to receive US$1.5 million in four tranches. So far, three of these tranches have been received with a value of US$1.125 million.
Within the agreement, ACAM advised it won't be taking up the final tranche of convertible notes. However, to satisfy the deed, ACAM will subscribe iConcept Global Growth Fund (IGGF) to the notes. IGGF paid the remaining balance of US$375,000.
In addition, IGGF subscribed for $332,500 worth of shares in Body Composition Technologies (BCT) as part of a second tranche of financing. MyFiziq said it received funds this week with a licence payment from BCT of $121,794 and development revenues of $70,706.
On a closing note, MyFiziq stated the Australian Taxation Office reimbursed $784,412 from its R&D projects. The company said this was the largest refund to date and will seek to focus on its strategic developments.
What did the CEO say?
MyFiziq CEO, Vlado Bosanac said:
The week has closed out on a very positive note, with a $5,000,000 oversubscribed capital raising, which was enhanced with additional inflows from our US NASDAQ funding initiative, A TO R&D reimbursements, a license payment from BCT and other partner revenues.
These additional inflows resulted in a further $1,504,977 in funding to the company. I am pleased to say the company is in the best financial position it has been in for the past few years, with ample capital to accelerate growth and execute on our NASDAQ initiatives.
MyFiziq share price summary
The MyFiziq share price has been on tear since August, after announcing a raft of positive agreements and term sheets. This propelled its shares from 28 cents to now $1.34, representing a gain of 380% for shareholders. At a market capitalisation of $154 million, MyFiziq has been accelerating its growth strategy to become a market leader in its field.
