Acusensus boosts institutional backing with $30m raise to fund growth in emerging markets

Melbourne-based Acusensus (ASX: ACE) has raised $30 million to support the rollout of its artificial intelligence-backed road safety technology into emerging global markets.

Acusenus has issued 20 million shares to existing and new sophisticated investors at $ 1.50 each which the company says has boosted the institutional shareholder base of the group while increasing liquidity in the market for its stock.

The new shares represent about 14.1 per cent of existing Acusensus shares on issue while the issue price has been struck at a 9.1 per cent discount to last Friday’s closing price of $1.65 per share.

Shares in Acusensus fell as low as $1.55 today following the announcement but were trading at $1.57 at 2.32pm (AEDT).

The capital raise follows a raft of contract wins for Acusensus in recent months, including an expansion of the company’s speed camera contract with the Queensland Government, a new agreement with the WA Road Safety Commission to supply multi-function fixed site enforcement camera programs and a breakthrough $34 million contract to deliver an Automated Work Zone Speed Control program for the state of Connecticut in the US.

The US contract is part of a growing US presence for the group.

Acusensus founder and managing director Alex Jannink says he was pleased to have secured support from both existing and new investors “to advance our mission to reduce road casualties on a global basis”.

“This placement broadens our shareholder register, promotes liquidity, accelerates our growth strategy and strengthens our ability to submit for more work on a global scale," he says.

“I am excited by the breadth of opportunities in front of us and I thank our employees, shareholders and partners for their continued support of our goals.”

Acusensus plans to use proceeds from the capital raise for business development, contract mobilisation and purchase of fixed assets, product innovation, working capital and litigation related costs.

The company announced in June that Federal Court proceedings had been filed against it by Redflex Traffic Systems in relation to intellectual property rights to the company’s technology.

Acusensus said at the time that it planned to “vigorously defend” the claims put forward by Redflex – a matter that was disclosed in the Acusensus IPO prospectus issued in December 2022.

Increased acceptance of its seatbelt and mobile phone detection systems by international markets drove a 20 per cent increase in revenue to $59.4 million for Acusensus in FY25, although higher operating costs led to a 12 per cent fall in adjusted EBITDA to $5.7 million.

Last month, Acusensus upgraded its FY26 revenue guidance to between $83 million and $87 million – up from $79 million to $84 million.

The higher revenue target was driven by the successful execution of the company’s New Zealand speed enforcement contract mobilisation and new contract wins announced in recent months.