Amaysim shares remain in a trading halt as the company embarks on a $50 million fundraising effort to reduce debt and build for the future.
The telco and energy player said on Tuesday shares would remain in a halt until the start of trade on Thursday, pending further news about its 60 cents per share entitlement offer, or unless the ASX decided otherwise.
The company had been in a trading halt since Friday.
"Proceeds from the entitlement offer will be used to reduce debt and provide additional balance sheet strength and flexibility to support investment in new strategic growth initiatives," the company said in a release to the ASX.
On Tuesday Amaysim reported a first half net loss of $13.7 million, dipping further into the red after a $1.7 million loss a year ago.
Chief executive Peter O'Connell said the slide came amid a softer half for mobile, which faced "intense competition" in the run up to a generational technology change to 5G.
Revenue for the six months to December 31 fell 5.6 per cent to $263 million.
Amaysim said the underlying earnings before interest, tax, depreciation and amortisation for its mobile business fell 4.6 per cent to $10.6 million, with revenue hurt by a continued subscriber shift to lower value plans and increased data inclusions - eliminating revenue from excess data usage.
However, underlying earnings in the group's energy business rose 69.2 per cent to $18.7 million.
The company said the energy sector's strong performance prompted it to accelerate investment in a new energy product.
"The retail energy market has all of the hallmarks of mobile from 10 years ago with opaque pricing constructs, no clear and ubiquitous access to usage data, bill shock, excessively long switching times and low satisfaction," Mr O'Connell said.
Following an accounting change, the company said full-year underlying earnings were expected to be in the range of $44 to $48 million, from an equivilent $33 to $37 million under the old standard.
Despite posting a net loss and facing a number of "headwinds" in the mobile sector, and regulatory uncertainty in energy, Amaysim said it remained confident in the long-term outlook of the company.
Shares in the company were trading at 94.5 cents before Friday's halt.
Amaysim will not pay an interim dividend, having last done so in March 2017.
AMAYSIM EMBARKS ON FUNDRAISING EFFORT
* First half net loss of $13.774m, down from a $1.680m loss last year
* Revenue down 5.6pct to $263m
* No dividend
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