HitIQ Limited (ASX:HIQ) told the market on 23 September 2026 that it had put in place a $1.5 million Research and Development (R&D) tax incentive Loan Facility with a company related to its largest shareholder.

What the company does

HitIQ, based in South Melbourne and listed on the ASX in June 2021, describes itself as an evidence-based brain care technology company. Its main product is PROTEQT, an instrumented mouthguard that records head impacts in sport. The company website lists the consumer version at $199 and says it is sold through retailers including rebel, Chemist Warehouse and Amazon. A military version, PROTEQT D-MAX, is designed to monitor head-impact exposure and blast-related events in defence settings.

The company states that the product is not diagnostic and does not diagnose concussion. Latest Revenue figures were not available in the sources reviewed, so the scale of sales cannot be stated.

The loan facility

Under the terms announced on 23 September, the facility is $1.5 million, with $750,000 drawn initially. The counterparty is No Bull Health Pty Ltd, which HitIQ says is a related party of Harmil Angel Investments, its largest shareholder. Interest is 12 per cent a year, with a $5,500 application fee, and the facility is rolling and subject to annual review. The final tax claim date is 30 June 2027.

The facility is initially unsecured. HitIQ said it will seek Shareholder approval at its Annual General Meeting for a security agreement over forecast R&D expenditure. An earlier R&D facility is due to be repaid when HitIQ receives its FY26 tax incentive refund, and any shortfall would roll into the new facility. The refund depends on the claim being accepted, so timing is not certain.

Recent Equity activity and dilution

The company has also been raising equity. A notice dated 17 September 2026 shows director Matthew Clayworth took part in a Placement at $0.007 a share, approved at a general meeting on 7 September, with free-attaching Options exercisable at $0.007. On 29 September HitIQ issued 60 million options to a lead manager as part payment for services.

According to the 19 October notice of meeting, there were 1,158,933,453 shares on issue at 9 October 2026, and 75 million shares were issued on 3 July at $0.007, raising $525,000. A 29 September securities notice lists 200 million unquoted options at $0.007, 98.5 million quoted options expiring December 2028 and about 24.1 million performance rights. A further 198,412,698 shares were issued on 26 August on conversion of convertible notes.

Sector context and risks

Head-impact monitoring sits between consumer wearables, sports medicine and defence technology. The company's website points to a Cardiff University study of repeated head impacts in women's rugby and a non-dilutive Victorian Government grant, though it gives no date or amount.

Risks that follow from the disclosures include reliance on a related party for short-term funding, a 12 per cent interest cost, dilution from options and share issues, and dependence on an R&D refund. The AGM notice also refers to a proposed $1 million loan from No Bull to be repaid through convertible notes, subject to separate approvals.

Upcoming milestone

The annual general meeting is scheduled for 18 November 2026 at 2:00pm AEDT. Resolutions include the remuneration report, a 10 per cent placement facility and director fee arrangements, according to the notice of meeting.