Highlights

  • CONNEQT Health received firm commitments to raise approximately A$5.5 million through a two-tranche placement.
  • Funds will support inventory growth, product development, enterprise expansion, marketing initiatives and working capital.
  • Existing eligible shareholders will be offered the opportunity to participate through a Share Purchase Plan on the same terms as the placement.
  • C2 Ventures, associated with Chairman Niall Cairns and CEO Craig Cooper, committed A$1.5 million subject to shareholder approval.
  • The company reported quarterly revenue of A$2.04 million in the March 2026 quarter and an annualised revenue run-rate of approximately A$10 million.

CONNEQT Health Ltd (ASX:CQT) has secured firm commitments to raise approximately A$5.5 million through a two-tranche placement, providing additional funding to support commercial growth initiatives, product development and expansion of its connected health platform.

The placement attracted support from existing shareholders as well as new sophisticated and professional investors, reflecting continued interest in the company’s growth strategy and healthcare technology offering.

During the afternoon session on 19 June 2026, CONNEQT Health shares traded at AUD 0.023. The stock was down 11.54% on the day and remains lower by 42.50% over the past 12 months.

Placement Structure and Funding Details

The capital raising comprises approximately 250 million new fully paid ordinary shares issued at AUD 0.022 per share.

The placement will be completed in two tranches. The first tranche consists of approximately 160.9 million shares and is expected to be issued on 25 June 2026 using the company’s available placement capacity under ASX Listing Rules.

The second tranche, comprising approximately 89.1 million shares, remains subject to shareholder approval at an Extraordinary General Meeting, with details to be announced separately.

In addition, C2 Ventures, which is associated with CONNEQT Chairman Niall Cairns and Chief Executive Officer Craig Cooper, has committed A$1.5 million to the placement, also subject to shareholder approval.

Share Purchase Plan for Existing Shareholders

CONNEQT intends to offer eligible shareholders the opportunity to participate through a non-underwritten Share Purchase Plan (SPP).

The proposed SPP will be offered at the same issue price as the placement and is expected to raise up to approximately A$0.5 million.

Management indicated that the company retains the flexibility to accept oversubscriptions or scale back applications depending on demand. Further details regarding eligibility and the timetable are expected to be announced separately.

Funds to Support Growth Initiatives

According to the company, proceeds from the placement will be directed toward several strategic priorities.

These include expanding product inventory to support growing sales volumes, funding intellectual property and new product development programs, increasing investment in marketing and enterprise growth initiatives, and supporting general working capital requirements.

The company stated that the additional capital is intended to help accelerate commercial opportunities while supporting continued development of its connected healthcare ecosystem.

Pulse Continues to Drive Commercial Momentum

The capital raising follows a period of reported commercial progress for CONNEQT Health.

In its March 2026 quarterly report, the company recorded quarterly revenue of A$2.04 million and exited the quarter with an annualised group revenue run-rate of approximately A$10 million.

Management highlighted CONNEQT Pulse as the primary growth driver within the business. The arterial health monitoring device contributed approximately A$7 million of annualised revenue run-rate at the end of the March quarter and has averaged more than 50% quarter-on-quarter growth since launch.

The company also noted that Pulse was recognised by the American Association of Retired Persons as one of the “Best Blood Pressure Monitors of 2026” and received the highest rating for “Most Comprehensive Data”.

Enterprise Segment Gains Traction

Beyond consumer sales, CONNEQT reported continued progress within its enterprise channel.

Management stated that pilot programs achieved a 100% conversion rate into commercial contracts, while active clinical subscription sites increased during the March quarter.

The company views the enterprise business as an important recurring revenue opportunity and expects further expansion in this segment as healthcare providers increasingly adopt connected health technologies.

At the same time, CONNEQT reported reducing monthly operating expenses by approximately 30% since the third quarter of FY2025, excluding non-cash items, cost of goods sold and customer acquisition costs.

Management believes these operational efficiencies support scalability while contributing toward the company’s path to profitability.

Management Outlook

Chief Executive Officer Craig Cooper said the capital raising positions the company to accelerate the commercial momentum generated since the launch of CONNEQT Pulse approximately 17 months ago.

Management highlighted continued demand growth for Pulse, expansion opportunities within the enterprise channel and ongoing development of software, subscription and data-driven revenue streams as key areas of focus.

The company also emphasised the continued support of major shareholders, including C2 Ventures, as it pursues the next phase of growth.

What Investors May Watch Next

Investors are likely to monitor completion of both placement tranches, details of the proposed Share Purchase Plan and progress toward shareholder approval for the second tranche.

Market attention may also focus on future sales growth of CONNEQT Pulse, expansion of enterprise contracts and the company’s ability to convert commercial momentum into sustained revenue growth.

Updates regarding new product development, software initiatives and recurring revenue opportunities may also remain key areas of interest.