Night falls on DaytraderHQ

DAYTRADERHQ Ltd has left its share-trading business behind to instead focus on its $3 million Perth iX server and data-hosting business.

DaytraderHQ has signed an exclusive licence agreement with Maincity Investments Pty Ltd and Hometrader Ltd for those companies to operate and manage the DAY Education trading training business.

The licence has been granted for an initial term of 10 years, during which time Hometrader will pay DaytraderHQ an undisclosed licence fee.

The licence may be extended by up to two periods of five years each if Hometrader is amenable to this.

DaytraderHQ has had to book a $700,000 write-down on its investment in the DAY Education business.

In a statement to the Australian Stock Exchange it said revenues from the DAY Education business had been declining for some time. It was therefore appropriate for the company to divest itself of this division and concentrate on the Perth iX business, where most of the company’s financial resources have been allocated.

DaytraderHQ has also successfully raised $1.1 million from its shareholders, the majority of which ($930,000) was provided by Sequentes Pty Ltd.

The company fulfilled various conditions placed upon it by Sequentes and, as a result, signed binding agreements with BankWest, Cisco Capital Finance Pty Ltd, Tyco Capital Australia Ltd and Sequentes to set terms for the restructuring of hire purchase and equipment lease arrangements for the Perth iX business.