Micro ATM share the foundation for Ezeatm IPO

Ezeatm Limited hopes to scrape out a market share of the automatic teller machine sector of one per cent, assuming a capital raising, listing on the ASX and a new business plan prove effective.

Oakajee Invesments Ltd, a subsidiary of ASX listed Oakajee Corp Ltd, will buy Ezeatm Limited and separately list on the ASX under plans announced a month ago. Oakajee Investments issued a prospectus for the capital raising on Friday.

Oakajee, which will rename itself Ezeatm Limited, plans to sell $3.5 million in new shares.

Ezeatm currently owns and operates 86 ATMs, mainly in Western Australia and plans to acquires another 250.

The prospectus shows that its present fleet processes 650,000 transactions a year, or 630 transactions per machine a month, or 20 a day.

The firm earns "net revenue per transaction of greater than $1".

Ezeatm said "direct costs" were 30 per cent of gross revenue, and declined to review any other costs of overheads incurred in the ATM business. Directors said there was no "reasonable basis to forecast future earnings".