The iCollege Ltd (ASX: ICT) share price is flying today as the company announced the completion of its capital raising. The iCollege share price is currently trading 8.33% higher at 13 cents.
The iCollege share price has had a good year so far, increasing 125%.
What does iCollege do
iCollege is a holding company comprising 7 separate businesses that deliver training solutions throughout Australia and overseas.
The company is expanding its business offerings in both breadth and geographical locations. iCollege currently operates campuses in Brisbane, Gold Coast, Adelaide, Perth, Sydney and Canberra. These facilities offer the scope of training provided by all iCollege registered training organisations.
Capital raise completed
Today the iCollege share price has seen a sharp uptick as the company announced the completion of its $5.5 million placement to drive growth.
The company was pleased as it received binding commitments from new and existing shareholders and institutions to raise the money at an issue price of $0.10. While initially only aiming to raise $3 million, the company upped its amount due to the strong support.
iCollege believes this is a strong vote of confidence in its business model and growth strategy saying:
Investors clearly recognise the strong macro tailwinds driving the business which is partly underpinned by the State and Federal Governments’ $1 billion Job Trainer Fund. iCollege is a direct beneficiary of the funding.
What now for the iCollege share price
Recently, iCollege reported record revenue of $4.1m and earnings before interest, tax, depreciation and amortisation (EBITDA) of $700,000 for the quarter. This has come from the company’s ability to capitalise on providing training packages to industries experiencing significant skills shortages.
As well as continuing to expand the existing domestic training operation, iCollege has started an aggressive marketing campaign to boost international operations.
The funds raised will help the roll-out of online coding bootcamps and a specialist business providing online training to children aged between 7 and 14.
Shares in iCollege are currently trading 8.33% higher at 13 cents for the day.