Hubify Completes $250K HubLab Investment and Eyes AI Deployment Revenue
Hubify completes $250,000 strategic investment in HubLab
Hubify (ASX: HFY) has completed its $250,000 equity investment in HubLab Pty Ltd, the Australian commercialisation vehicle for Labrynth AI, a US-based regulatory technology platform. The investment, executed at $0.042 per share as part of HubLab’s $1.25 million capital raise, positions Hubify as the execution arm for AI deployments across the Australian market following the strategic placement announced in February 2026.
HubLab enters the market with an $11 million pre-money valuation and exclusive rights to deploy Labrynth’s regulatory intelligence technology across one of the world’s most technically demanding compliance environments. Hubify will generate revenue through AI advisory services and implementation contracts as HubLab moves from formation to commercial rollout.
Board appointments strengthen structural alignment
Non-Executive Director Charbel Nader has been appointed Director and Chairman of HubLab, providing direct governance alignment between Hubify and the AI venture. Labrynth CEO and Director Stuart Lacey joins Nader on the HubLab board as Director, creating cross-entity representation across all three organisations.
The dual board structure establishes oversight as HubLab transitions from corporate formation to enterprise deployment, with Hubify positioned to capture implementation revenue while maintaining strategic influence through governance participation.
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What is RegTech and why does Australia matter?
Regulatory technology (RegTech) refers to software platforms that automate compliance with legal and regulatory requirements, removing manual interpretation and reducing the risk of non-compliance. These systems integrate with existing business processes to validate decisions against current regulations in real time.
Australia operates the third-largest RegTech market globally and maintains some of the most technically demanding regulatory frameworks in the English-speaking world. This technical complexity creates substantial demand for automated compliance solutions while serving as a proving ground for platforms before international expansion.
Hubify’s role as HubLab’s execution arm becomes commercially significant in this context. Labrynth’s AI engine interprets regulatory instruments rather than merely summarising them, addressing a market need for defensible, audit-ready compliance outcomes at enterprise scale.
CERTAiNTY payroll platform leads commercial rollout
CERTAiNTY represents HubLab’s first product to reach market, targeting payroll compliance for Australian businesses. The platform interprets Modern Awards and Enterprise Bargaining Agreements in real time, validating pay runs before they lock and generating immutable, time-stamped records for every pay period.
Key CERTAiNTY features include:
- Real-time interpretation of Modern Awards and Enterprise Bargaining Agreements
- No rip-and-replace implementation, sitting above existing payroll systems
- Immutable, time-stamped Instance Record for every pay period
- Insurance-backed assurance (described as unique in Australian market)
The pilot phase is complete, with enterprise rollout now underway. CERTAiNTY is positioned as Australia’s first and only insurance-backed payroll assurance platform, differentiating it from summarisation tools by providing legally defensible validation tied to an organisation’s compliance file.
Sector pipeline beyond payroll
AI solutions are already live in payroll compliance and healthcare, demonstrating Labrynth’s ability to interpret complex regulatory instruments across different domains. Additional solutions are progressing in financial services, construction, and state and local government sectors, indicating diversified revenue potential as HubLab scales beyond its initial product.
Investment terms provide upside optionality
Hubify’s investment structure includes two options for additional capital deployment, alongside anti-dilution protection and tag-along rights that provide downside protection and participation rights in future liquidity events.
| Term | Detail |
|---|---|
| Initial Investment | $250,000 at $11m pre-money valuation |
| Option 1 | Additional $250,000 at same valuation (expires 31 March 2027) |
| Option 2 | Up to $500,000 at 20% discount to next raise (min $12.5m pre-money, 36-month window) |
| Anti-Dilution | 12-month full-ratchet protection |
| Tag-Along Rights | Pro-rata participation in controlling shareholder sales |
The option structure allows Hubify to increase its stake at predetermined valuations as HubLab demonstrates commercial traction, while the 12-month full-ratchet anti-dilution provision protects against down-round scenarios through issuance of additional Class A shares.
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Management outlook
CEO Victor Tsaccounis framed the completed transaction as a transition point from investment to commercial execution, highlighting the alignment created through cross-board appointments.
Victor Tsaccounis, CEO, Hubify Limited
“We’re happy to have this transaction completed and to see directors of both Hubify and Labrynth appointed as board members of Hublab Pty Ltd. This solidifies the partnership between the organisations as we move into meaningful engagements, leveraging AI capability to solve complex challenges for our clients. I am excited and confident about what we can achieve together in the Australian market.”
The commentary signals Hubify’s focus on converting the HubLab partnership into revenue-generating activity, with governance alignment supporting the move from formation stage to client deployments across enterprise and government sectors.
Want to Know How Hubify Plans to Monetise Australia’s Growing RegTech Market?
Hubify has secured its position as the execution arm for HubLab’s AI-powered compliance solutions, with enterprise deployments already underway in payroll and healthcare sectors. The $250,000 strategic investment includes options to increase exposure at predetermined valuations as commercial traction builds.
To explore Hubify’s revenue pathway through AI implementation contracts and understand the full commercial opportunity, visit the Hubify investor centre for detailed project updates and financial disclosures.