Here's why the Oneview (ASX:ONE) share price has exploded 106% higher

Oneview Healthcare PLC (ASX: ONE) share price is rocketing 106% on the back of an agreement with StocksDigital. Here's the details.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Oneview Healthcare PLC (ASX: ONE) share price is by far one of the best performers on the ASX market today. This comes after the company announced that it has entered into an agreement with StocksDigital.

In early-afternoon trade, the healthcare technology solutions company's shares are up an astonishing 106.2% to 16.5 cents. Almost 100 million shares have swapped hands between investors.

What's the detail in the Oneview agreement?

The Oneview share price rocketed to a new 52-week high as investors appear upbeat about its latest announcement.

According to its release, Oneview advised that it has signed an investor awareness agreement with S3 Consortium trading as StocksDigital. This will see Oneview provided with in-depth research, commentary and investment advice services.

The company stated that this is an important measure taken as no formal research coverage had been relatively conducted. Oneview believes that this will further strengthen the balance sheet and boost investor awareness to build its profile. Indeed, this is a perfectly timed announcement as the company gears up to launch its Oneview Cloud for Enterprise globally. Sales and marketing campaigns are also planned in the near future for the United States and Australia.

The agreement, effective immediately, will run for a period of 18 months. Oneview will pay $375,000 for StocksDigital's services and allocate 6.25 million CHESS depositary interests over fully-paid ordinary shares (CDIs).

In addition to the deal, StocksDigital and investors within its network will invest $1 million into Oneview. In return, the 16,666,666 CDIs will be allotted from Oneview to the participating investors. The offer price will be set at 6 cents apiece. This represents a discount of 18.9% on the volume-weighted average price of CDIs on the last 5 trading days.

The company plans to use the funds to achieve its growth strategy of the new Cloud platform.

About the Oneview share price

The Oneview share price has performed well over the past 12 months, gaining 117%. However, the companies shares have surged to more than 250% year to date, hitting a 52-week high of 19 cents today.

Based on the current share price, Oneview has a market capitalisation of around $65.6 million.

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News

Broker written in white with a man drawing a yellow underline.
Broker Notes

Brokers name 3 ASX shares to buy today

Here's why brokers are feeling bullish about these three shares this week.

Read more »

Woman with a scared look has hands on her face.
Broker Notes

Bapcor shares fell more than 30% yesterday. Should investors buy in the dip?

Is this a value opportunity?

Read more »

A man sits thoughtfully on the couch with a laptop on his lap.
Broker Notes

Broker raises price targets on 2 ASX 200 shares to buy

Ord Minnett has just upped its 12-month share price targets on 2 buy-rated ASX 200 stocks.

Read more »

Man with rocket wings which have flames coming out of them.
Share Gainers

Guess which ASX All Ords stock just rocketed 34% on strong earnings growth

Investors just sent this ASX All Ords stock surging 34%. Here’s what’s happening.

Read more »

A male investor wearing a blue shirt looks off to the side with a miffed look on his face as the share price declines.
Share Fallers

Why DroneShield, Gentrack, Metals X, and Northern Star shares are tumbling today

These shares are ending the week in the red. But why?

Read more »

A businessman looking at his digital tablet or strategy planning in hotel conference lobby. He is happy at achieving financial goals.
Share Gainers

Why Dimerix, Newmont, Regal Partners, and Titomic shares are storming higher

These shares are having a good finish to the week. Let's see why.

Read more »

Man drawing an upward line on a bar graph symbolising a rising share price.
Broker Notes

Morgans says these ASX can rise 30% to 50%

The broker has good things to say about these shares.

Read more »

Two businessmen look out at the city from the top of a tall building.
Broker Notes

2 ASX REITs to buy in July: expert

Is it time to consider ASX REITs?

Read more »