• New equity funding of $0.9M from Singapore and Hong Kong investors
• Existing convertible note holders to convert $1.05M of debt to equity
• Proceeds to be used for business expansion, product enhancements, and working capital

X2M Connect Limited (ASX:X2M), an Australian Internet of Things (IoT) technology company, has secured a $1.95 million placement through the issue of approximately 122.33 million shares at a price of $0.016 per share. The placement comprises new equity funding of $0.9 million largely from Singapore and Hong Kong investors, and in parallel, existing convertible note holders to the value of approximately $1.05 million will direct their company-held debt to purchase equity on the same terms, further strengthening the company's balance sheet. The proceeds from the capital raise will be used for business expansion, product enhancements, and working capital. X2M CEO Mohan Jesudason stated that the capital raise and debt conversion demonstrate investors' confidence in the company's long-term vision as it accelerates its expansion into AI and data aggregation ahead of FY26. Subject to shareholder approval, investors will receive free attaching unlisted options with an exercise price of $0.016 and an expiry date of 12 months from the date of issue. Additionally, investors will receive 'piggyback' free attaching unlisted options with an exercise price of $0.03 and an expiry date of 31 July 2027. The placement is expected to settle on 25 June 2025, with the balance of shares, unlisted options, and piggyback options subject to shareholder approval at a meeting to be held on or about 31 July 2025.

X2M will look to continue its global expansion, with subsidiaries already operating in Japan, South Korea, Taiwan, China, and the Middle East through a licensing agreement with Dicode Smart Connect Electronics LLC in Dubai.