Careteq plummets on first day of trading

Having opened at $0.165, assistive living technology company Careteq (ASX: CTQ) was trading at $0.150 two hours out from the end of its first trading day on the ASX.

Assuming there’s no kicker before the close, the ASX debutant is looking to end the session -25% down on the company’s issue price of $0.20.

A creator/provider of software-as-a-service-based solutions to assist the elderly, Careteq has created its Sofihub platform.

The company issued 30 million shares (at 20 cents each) as part of the IPO to raise $6m and had listed with a market capitalisation of $24.7m.

Cross-selling & global expansion

Funds raised will aid Careteq’s growth and cross-selling opportunities, plus the development of new products, features, and applications.

By partnering with the SiTa Foundation in the US - to develop a safety device to be used against domestic violence - the company also plans to expand globally.

Careteq’s CEO Peter Scala notes the global aged and disability care sector is primed for a technological disruption due to a dire need for productivity improvements.

“As the cost of providing aged and disability care rises, it is our belief that this will prompt government and non-government funders to increasingly turn to assistive living technology solutions, such as ours, to control costs and provide better patient outcomes.”