Caffeine energy strip maker Revvies is our first equity crowdfunded business
Health & Biotech
Health & Biotech
A maker of caffeinated strips that dissolve in the mouth is the first Australian business to be equity crowd-funded after regulatory changes last year.
Revvies Energy Strips raised almost $300,000 at $1 a share.
The offer was open for just over a month, and attracted 239 investors starting at a minimum contribution of $250.
New equity crowd-funding laws were passed last year, allowing public companies to raise up to $5 million and individual investors to chip in as much as $10,000 per company.
Private companies are set to follow soon. Similar legislation is expected to pass the Senate next week.
Revvies co-founder John Nolan-Neylan told Stockhead the crowd-funding regime allowed fans of the product to get skin in the game.
“We wanted to utilise the people that were our customers and give them a chance to buy into our business and along the way, to build brand champions. Now they get to share in our growth financially,” he said.
The funding was facilitated through equity crowdfunding and IPO platform OnMarket.
“This is the first equity crowd-funding deal to be completed in Australia,” said OnMarket founder Ben Bucknell.
“We anticipate that there will be significant interest in the space going forward, from both companies looking for capital and investors looking for access to innovative, growing companies.”
Revvies energy strips contain 40 mg of caffeine – equivalent to half a can of energy drink or coffee – but hit within minutes and without any of sugar, the company says.
The cash raised will help Revvies pursue further research and development of its energy products and expand the business.
The company now supplies six national sports teams and 20 professional clubs including the NRL, Super Netball and Olympic athletes from Australia, NZ and the UK.
The company made $39,000 in the six months to December and had $6,690 left in the bank.