Singapore-based and ASX-listed social entertainment company migme has had a slew of fundraising rounds this year. It first raised AU$6,990,000 (US$5.12 million) in March through an allocation of shares to leading China-based photo and video app developer Meitu, then in early July, it raised another AU$2,018,428 (US$1.5 million) through Meitu again.
Today, migme announced that it is in talks to close another fundraising round — to the tune of AU$10 million (US$7.5 million). In a press release, it claims to have already gathered significant support from strategic shareholders and existing shareholders.
Early last month, we reported it entered into a voluntary suspension of share trading amidst market volatility and negative cashflows. migme said it will resume trading on 4 August. This move will give other sophisticated and institutional investors time to participate in the round.
“We acknowledge that our extended ASX suspension has not been ideal. Amidst the current market conditions, including Brexit, the suspension has provided the Company with the opportunity to secure funding on the best possible terms. The securing of this additional capital, which will be applied towards achieving cash flow positive operations by early 2017, delivers the best outcome for the Company and for shareholders,” said Goh, in an official press statement.
Partnership with MOX
Through this alliance, migme’s Android mobile client will be integrated into MOX’s SDKs (Software Development Kits) for payments and advertising across their platform, and allow migme to work with MOX’s community of startups to reach over 135 million Android users — as well as provide migme some alleviation to their cashflow dilemma.
In return, migme will issue SOSV with 1 per cent of migme’s issued shares and share revenues earned by migme on the MOX Platform. A range of other initiatives that will be extended to other migme partners is also in the pipeline.
“We are excited to be working with MOX and being part of their mobile ecosystem. Beyond their wide mobile reach in the region, we will be able to benefit from the expanded access we will have to people and resources for product and development, local market OEM’s (Original Equipment Manufacturers), regional apps and mobile industry experts,” said Goh.
Besides fundraising and partnership deals, migme also announced a few new additions to its platform. This includes the launch of a new Android client, integration of mobile game Gone Goose and Meitu’s BeautyPlus and MakeUpPlus, as well as the launch of migshop.