Harvest Technology’s $6 million funding agreement a strong endorsement of strategy

• HTG inks $6 million funding agreement with RiverFort Global Capital
• Funds to support working capital and strategic expansion into marine and defence sectors
• First drawdown of $1.5 million to occur immediately

Special Report: In a strong tick of approval for its Nodestream technology platform and strategic market direction, RiverFort Capital will furnish Harvest Technology Group with a $6 million funding facility.

Harvest Technology Group (ASX:HTG) will draw down $1.5 million of that facility immediately for working capital purposes as the company expands into growing market segments.

HTG CEO Ilario Faenza said the facility with RiverFort offered Harvest the ability to immediately pursue its business plans while providing a framework to access further funding for future capital requirements.

“This partnership is a strong endorsement of our technology and strategic direction and positions us well to deliver value for our shareholders,” he said.

RiverFort Global Capital CEO Gytis Martinkus said the funding facility reflected RiverFort’s confidence in Harvest Tech’s Nodestream platform.

“What stood out to our team is the rapidly expanding addressable market, particularly in sectors such as marine and defence where significant global investment is forecast and where robust communications in limited connectivity and high-latency environments are critical,” he said.

“This facility provides Harvest with access to committed capital when required, ensuring the company can accelerate its growth ambitions.

“We are excited to partner with Harvest on this journey.”

The Nodestream Protocol

Harvest Technology’s Nodestream protocol is a network agnostic communications protocol designed to transmit large amounts of voice, video and data on limited, unreliable connections.

Using Harvest Technology’s transport protocol, the system is able to reduce bandwidth requirements by up to 70% while maintaining supercomputer-level 384-bit encryption.

In real terms, it allows organisations to monitor and control operational centres from a distance, even those in incredibly remote locations with limited infrastructure, like deep-sea oil rigs.

“We liken it to fitting a 10-inch pipe down a 2-inch pipe,” Harvest Tech chief product officer Damiain Brown explained in an interview with Stockhead.

“It’s been specifically designed to operate in contested and congested environments, extremely remote, low bandwidth, high latency connections, so it’s extremely reliable and survivable.

“We’d like to think it is the most survivable protocol that’s available.”

Defence spending on the rise

The Stockholm International Peace and Research Institute estimates a 37% increase in global military spending over the last decade, the single largest increase since the Cold War.

A 7.4% increase in a single year saw defence spending rise to US$2.46 trillion in 2024, and emphasis on remote operations and robust connectivity technology is intensifying in step.

HTG’s corporate advisor Alto Capital sees the new funding facility as a pivotal milestone for the company.

“The next 12 months are shaping up to be transformational,” Alto Capital director Alan Lawson said.

“With funding certainty now in place, Harvest can focus on driving sales growth, continuing disciplined cost management, and pursuing strategic opportunities that strengthen the business.

“The upcoming investor roadshows in Singapore and Frankfurt will be important platforms to showcase this progress to global institutions and broaden the shareholder base.

“RiverFort’s support is also a strong external validation of Harvest’s strategy and technology.

“It demonstrates that international investors recognise the scale of the opportunity in front of the company.”

The S&P Aerospace and Defense Select Industry Index has surged more than 45% in the past year, underscoring strong investor appetite in the sector.

In parallel, HTG shares are up more than 50% this month, with volumes increasing on both the ASX and Frankfurt exchanges, highlighting growing international interest in the company ahead of its upcoming investor roadshows.

With the RiverFort facility in place, HTG is positioned to build on this momentum, accelerate growth, and capture a share of the sector’s expansion.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.