HitIQ scores with Premier League contract, looks to raise $6.35m

Gaining traction with commercial agreements and increasing revenue, concussion and mouthguard technology business HitIQ Limited (ASX: HIQ) announced a paramount two-year software licence agreement with the English Premier League tied in with another capital raise seeking to raise up to $6.35 million.

One of the biggest issues facing the Premier League and contact sports is the lack of response when a player experiences a blow to the head resulting in a concussion. Facing criticism from doctors globally, repeated blows to the head is commonplace in contact sports which has proven to lead to a degenerative neurological disease called chronic traumatic encephalopathy (CTE).

Whilst soccer is primarily a non-contact sport, studies have shown that players are still suffering levels of CTE seen in other sports. Some have theorised this is due to the repeated action of ‘heading’ the ball, so should be treated just as seriously.

In a research report published by Boston University in 2017, it was discovered that over 99% of the brains of former NFL players display evidence of untreated CTE and that on average every 1.6 games a player experiences a serious head injury. As of yet, no research has indicated a cure for the disease, where it is common that affected individuals have to seek life-long treatment options to ease lingering effects – highlighting the importance of early detection. 

Currently, protocols following a head injury provide an inaccurate or unreliable picture of the damage sustained – HitIQ’s technology overcomes this via an end-to-end concussion management platform where it aims to provide early detection via their mouthguards and continued surveillance. 

Beginning this season, HitIQ’s CSX Concussion Assessment Technology will be deployed to over 20 Premier League teams and associated academies where the tech will be utilised as part of the medical process following blows to the head. Included in the agreement, HitIQ will also supply its mouth guard sensor technology that features embedded force measuring sensors that records head impacts and the force sustained during a match.

The first commercial partner to deploy HitIQ’s tech was the Australian Football League, with today’s announcement marking a step forward in the Company’s current strategic initiative to head partnerships with the Rugby League, Rugby Union, Ice Hockey, Lacrosse, MMA and American Football – all sports that experience high levels of contact.

“We look forward to working with the Premier League using our best-in-class concussion management technology, as we have done so successfully with other codes. With awareness of concussions in football growing, the Premier League have taken proactive measures to better manage these incidents through our leading platform. We are excited to see the technology grow in stature within the football market,” said HitIQ CEO, Mike Vegar. 

To ease working capital constraints, boost marketing and sales of its products, and further advance its detection tech, HitIQ has initiated a capital raise with shareholders in hopes to raise $6.35 million. The raise will be done via a renounceable rights issue offer of 8 new shares for every 5 shares held at an issue price of $0.03 per new share. And to really ensure a full undertaking, has included one free attaching new option for every new share subscribed. 

“We look forward to rewarding all our loyal shareholders with the on-going commercialisation of our brain injury management platform, with several potential inflection points that should drive a restoration in shareholder value available over the coming period.”