Fastbrick Share Price Builds Momentum

Fastbrick Robotics logo - asx market update

Fastbrick Robotics [ASX:FBR] has climbed more than 80% since the start of July. The amazing surge has seen the share price rise from 11 cents at the start of July to a high of 20 cents today.

What caused the July share price boom?

Fastbrick are known for their patented bricklaying robot. The machine bests its human counterpart at a rate of 5:1. Or, roughly 1,000 bricks an hour compared to the 200 a good bricklayer might provide.

As a result, on 3 July Fastbrick signed an agreement with Caterpillar Inc. [NYSE:CAT]. The US$64 billion machinery giant will help make and sell the bricklaying robots. A massive boon for Fastbrick.

The share price leapt up after the announcement, but has continued to climb more than a week later. While it is only a memorandum of understanding, meaning either party could pull out of the deal early, investors should be thrilled.

How to Find and Invest in Small Companies BEFORE They Hit the Big Time

Report Cover Image

Download this free report and discover your best opportunity to snare 1,000% potential stock returns in under a year. Analysts will deny they exist. 90% of hedge funds won’t touch them. And you won’t find them mentioned in the press. Yet these ‘off-the-grid’ stocks have been handsomely rewarding private investors like you for more than 50 years.

Simply enter your email address in the box below and click ‘Send My Free Report’. Plus…you’ll receive a free subscription to Money Morning.

We will collect and handle your personal information in accordance with our Privacy Policy. You can cancel your subscription at any time.

What’s next for Fastbrick Robotics and Caterpillar Inc.?

Caterpillar seems committed, even investing US$2 million into Fastbrick. The funds will be allocated by a placement at AUD$0.10 per share. However there is also an option for Caterpillar to put in another US$8 million at AUD$0.20 per share. Which is subject to shareholder approval with 60 days.

While the collaboration is currently only slated for a 12-month term, the future looks good for Fastbrick. Backed up with a sizeable capital investment the company’s hard work appears to be paying off. Investor’s will no doubt be looking for exciting developments in the near future.

Regards,

Ryan Clarkson-Ledward,
Junior Analyst, Money Morning

PS: If you’re looking for more small-cap gains then we’ve got you covered. Our small-cap expert Sam Volkering, can help you with his report, ‘The Top Three Aussies Stocks to Own in 2017’.

Sam helps thousands of Aussies explore the untapped market of small-caps every day. Readers of his Australian Small-Cap Investigator newsletter have seen gains like 103%, 368% and even a staggering 1,349%!

There has never been a better time to get involved in the small-cap sector. Get your free copy of the report right now, here.

Ryan Clarkson-Ledward

Ryan Clarkson-Ledward

Ryan holds degrees in both communication and international business. He helps bring Money Morning readers the latest market updates, both locally and abroad. Ryan tackles all the issues investors need to know about that the mainstream media neglects.

Leave a Reply

Be the First to Comment!

Notify of
wpDiscuz