- Digital Wine Ventures (DW8) has entered a trading halt as it prepares for a capital raise
- So far, the company hasn't announced any details about the capital raise, but will keep its securities in a trading halt until July 29
- In a recent quarterly report, the booze business revealed it had more than $585,000 in the bank at the end of June
- Digital Wine Ventures also spent over $426,000 on operating costs during the June quarter and a total of around $1.8 million in the last year
- The company also signed 39 new customers for its WINEDEPOT business
- Shares in Digital Wine Ventures last traded for four cents each
Digital Wine Ventures (DW8) has entered a trading halt, as it prepares for a capital raise.
The online booze business hasn't said how it plans to raise the equity, or what it will be used for.
However, the company did confirm the trading halt would be lifted once the announcement is made, or by July 29.
In a recent quarterly report, Digital Wine Ventures revealed its finances were in need of a top-up.
In the three months to June 30, the company spent over $426,000 on operating costs. Meanwhile, in total, the business spent over $1.8 million in the last year.
That leaves the company with just over $585,000 in the bank at the end of the June quarter, enough to pay for another quarter of operating costs.
But Digital Wine Ventures' WINEDEPOT business is expanding rapidly, signing on 39 new customers — representing a 111 per cent spike compared to the March quarter.
The company likely needs capital in order to continue that growth and to top-up its cash flow.
Shares in Digital Wine Ventures last traded for 4 cents per share, on July 24.