The Dubber Corp Ltd (ASX: DUB) share price is surging today. Dubber shares are up 2.93% at the time of writing to $1.58, after closing at $1.51 yesterday and opening at $1.55 this morning.
Even though 2.93% is a hefty one-day gain by any means, Dubber shares were actually doing much better earlier in the day. The Dubber share price climbed as high as $1.64 soon after market open (a rise of nearly 6% and a new 52-week high) before settling at the current share price soon after. For comparison, the S&P/ASX 200 Index (ASX: XJO) is down 0.25% at the time of writing.
So why is this ASX tech share defying the broader market today and climbing high?
Share purchase plan swamped
Today, we got news from Dubber that its share purchase plan (SPP) has been successful – extremely successful, it seems.
In an ASX release to the market this morning, Dubber told investors that it has received over $33 million in applications for the SPP, well over the targeted $6 million initially flagged.
As a result, the company will reportedly endeavour to accept $10 million in applications by scaling back its acceptance of SPP offers. This will result in the issuance of just over 9 million shares.
The initial Dubber retail SPP closed on Friday 6 November and involved the opportunity for 'eligible shareholders' in Australia and New Zealand to apply for up to $30,000 worth of new shares each at the price of $1.10 a share.
A preceding SPP for institutional investors also took place last month, which raised another $35 million.
What else has been moving the Dubber share price?
It's also worth noting that this cloud data company has had a very busy week, and indeed month – in fact, the Dubber share price is up almost 45% over the past month alone.
Last week, Dubber announced that the company had been selected as the recording and data capture platform for big blue itself, IBM (NYSE: IBM). IBM has launched a new service, the IBM Cloud for Telecommunication Services platform, and Dubber is playing a central role.
IBM is a behemoth company with a market capitalisation of ~US$104 billion, so this is obviously big news for the $378 million-sized Dubber. The Dubber share price shot up 8% on the news.
That was on top of the announcement last month that Dubber has launched an artificial intelligence solution for Microsoft Teams, owned by Microsoft Corporation (NASDAQ: MSFT), which sent Dubber shares up 16%.
