AVA Risk Group (ASX: AVA) has secured a strategic investment from US-based Hale Capital Management to accelerate its expansion into the United States.
Under the agreement, AVA could receive up to $7 million through a secured convertible loan note and up to $5.6 million via associated warrants, subject to shareholder approval.
The funding will support AVA's next phase of growth, including scaling commercial and operational capabilities in the US, deploying its detect, access, and illuminate solutions across critical infrastructure markets, and leveraging Hale's network to expand customer penetration and potential strategic partnerships.
Hale Capital, a specialist investor in national security and technology companies, brings extensive experience in US federal, state, and enterprise markets, along with deep relationships across critical infrastructure, telecommunications, utilities, and government-adjacent sectors.
As part of the investment, Hale plans to nominate an experienced executive to join AVA’s board in early 2026.
The convertible notes carry a conversion price of $0.1234 per share, reflecting an 81% premium to AVA’s last closing price on Dec. 30. Warrants issued to Hale will have the same exercise price and a five-year term.
AVA expects to access an initial $3 million immediately, with the remaining $4 million contingent on shareholder approval.
David Cronin, AVA’s Chairman, said the partnership strengthens the company's balance sheet while providing strategic guidance in its largest addressable market.
At the time of reporting, AVA Risk Group’s share price was $0.0070.