Shares Issued in NFP Impact Offer
Tuesday, 14th April 2015 at 11:45 am
Shares have been issued to 21 Not for Profit investor organisations in a $4 million capital raising campaign to develop new finance pipelines for social impact projects.
The NFP consortium, Community 21 Limited, has announced that it has hit the minimum subscription level required to move into its next phase of capital raising and issued shares to the Not for Profit investors including large charities such as the Benevolent Society, Australian Conservation Foundation, National Shelter and Jobs Australia.
“This completes the first phase in this historic share offer, exclusive to Not for Profit organisations, being undertaken by one of Australia’s most successful social enterprises. Community 21 will now continue to raise capital until June 30,” Executive Director, Peter Quarmby said.
“Community organisations have amazing resilience, our new shareholders have over 850 years of experience working within social justice, environment or social service arenas.
“From one of Australia's oldest welfare organisations to state based peak bodies and housing providers; from organisations focussed on Indigenous issues through to those with environmental aims; Community 21 has been delighted by the calibre and spread of the organisations that have applied for shareholding.
“We now go straight into our second phase, and we are inviting shareholdings starting at $2000, making it affordable for all organisations.”
Quarmby said most of the capital raised will continue the Not for Profit sector’s longstanding 50:50 partnership with Bendigo Bank, and be injected into the crowdfunding and banking platform act. launched late last year by Community Sector Banking.
“After being launched as a world-first, the act. platform has been warmly received with more than half of its initial projects meeting (and in some cases exceeding) targets within the allotted time. It has just hit the $20,000 milestone in raised funds. The team behind act. is now working hard to build on this excellent start,” he said.
He said said the share offer aimed to raise up to $4 million in capital to develop new finance pipelines for social impact projects, to strengthen the Not for Profit sector’s financial sustainability and reduce reliance on Government funding.
Community 21 Chair, David Thompson, said a minimum subscription level of $700,000 would be required for the first phase.
“The mix is fantastic and means that Community 21 has a broad knowledge base to draw on for research and development in our work advancing the financial future of the Not for Profit sector,” Thompson said.
“Our primary asset, Community Sector Banking, is having a better than forecast year and as such, a minimum subscription level of $700,000 was resolved by the board to be sufficient for the first injection of capital and to move on to the next phase.”