The company received the first tranche of its US$36mln equity funding and also raised a further US$20mln from shareholders.
With the balance sheet strengthened, RM2 has been working with potential customers looking to upgrade their existing wooden pallets.
Losses narrow, revenues fall
The company has recently completed a trial with a big logistics group, while it also deployed its ELIoT smart pallets with Fortune 100 and 500 companies.
With the company winding down some of its contracts for traditional pallets, revenues fell to US$2.6ml in the opening six months of 2018 from US$3.7mln a year earlier.
Despite that, losses narrowed to US$17.3mln (H1 17: US$19.2mln). RMS told investors it expects to turn EBITDA (underlying earnings) positive in 2019.
“Following the refinancing and simplification of the capital structure in the first half of 2018, the company is focused on the deployment of RM2 ELIoT Smart pallets,” said chief executive Kevin Mazula.
“We have delivered against our principal objectives, successfully completing initial trials of RM2 ELIoT pallets with significant industry leaders and entering into a Phase 1 contract with a Fortune 500 customer.
“We are pleased to see that the robust, eco-friendly RM2 ELIoT pallet, with its proprietary tracking technology, is making inroads with global industry leaders, significantly enhancing the efficiency of their supply chains.”
In a separate announcement, RM2 announced the nomination of two new “high calibre” members to its board.
David Binks and Andrew Geisse have a combined 70 years of experience in the tech and logistics industry.
Shareholders will get the chance to approve the appointments at a meeting next month.