BPP.ASX: Update on Recapitalisation and Strategic Focus

Update on Recapitalisation and Strategic Focus

Stock	Babylon Pump & Power Ltd (BPP.ASX)
Release Time	24 Jun 2026, 1:26 p.m.
Price Sensitive	Yes

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Babylon Pump & Power Ltd Announces Recapitalisation and Strategic Focus

Key Points

Specialist rental business expected to grow ~160% in FY26 with revenue of $26 million
NAB extends facilities to July 2027 and waives principal repayments for June and September 2026
Substantial shareholders support proposed capital raise to strengthen balance sheet

Full Summary

Babylon Pump & Power Limited, a specialist in high-pressure pumping and dewatering, has announced an update on its recapitalisation and strategic focus. The company's specialist rental business is performing strongly, with FY26 rental revenue expected to grow by approximately 160% to $26 million. The National Australia Bank (NAB) has agreed to revised funding arrangements, including an extension of facilities to July 2027 and a waiver of principal repayments for June and September 2026. The company is also progressing a recapitalisation plan to strengthen its balance sheet, fund growth, and support the resumption of trading. Substantial shareholders have indicated their support for the proposed capital raise.

Guidance

FY26 rental revenue expected to be approximately $26 million, up ~160% from FY25

Outlook

Babylon Pump & Power Ltd expects to complete the transition to a focused water management rental business with improving earnings quality and growth prospects.