Second stab at listing for My ATM

My ATM last Friday issued a replacement prospectus and will push ahead with plans to sell at least $4 million, and as much as $10 million, in new shares for a 21 per cent stake in the company. The company also plans to list on the ASX.

The key executive of the firm is Tim Scala, a former Westpac executive. Scala has sold some earlier ATM interests into My ATM, mainly "site agreements" owned in conjunction with another company.

The prospectus shows the company has sold 1349 automatic teller machines since early last year and, through the Aussie ATM brand, operates a fleet of 474 ATMs.

The corporate structure used for the listing is one that acquired the operating business of My ATM and Aussie ATM only in recent months for notional values of $6.2 million and $14.9 million for each business.

The Australian Securities and Investments Commission placed a stop order on an earlier prospectus after raising concerns over a shortfall in working capital (which the sale of new shares in part aimed to address) as well as the treatment of goodwill.

A report from PKF Corporate Advisory shows a deficiency in working capital of $1.8 million at My ATM though this will be addressed through shareholder loans, the capital raising, and cash flows, according to PKF.