Ovanti (ASX:OVT) received firm commitments to raise AU$1 million through the placement of 588.2 million shares at AU$0.0017 each to sophisticated investors, according to a Wednesday filing with the Australian bourse.

Tranche one for 212 million shares will be issued on June 6 under existing bourse listing rules, while tranche two for 376.2 million shares is conditional on shareholder approval.

Proceeds will be used to fund ongoing litigation matters, its buy now pay later operations in the US, working capital, and costs of the placement, the filing said.

Clee Capital was the lead manager for the placement, the filing added.