Mirriad Advertising raises £23m at 40p to advance business
The computer vision, technology and AI platform company said the issue price is discounted around 5.9% to the closing mid-market share price per Ordinary Share on 25 November 2020,
Following the announcement on Thursday, Mirriad said the placing is subject to shareholder approval to enable the issue of the New Ordinary Shares, which will be sought at a General Meeting which is expected to be held at 11.00 a.m next month on 15 December 2020.
The proceeds will allow Mirriad to invest in its sales capabilities with specific reference to the recently announced Music Alliance and in developing its US revenue stream in general.
It will also allow the company to invest in its technology team in the areas of live programming and real-time advertising decisioning and delivery, in addition to further strengthening the Mirriad’s balance sheet to better position it to successfully service very large partners.
The Directors said they ‘remain confident of the future prospects for the Company and are encouraged by recent developments in the Company's underlying business, including its announced new partnership agreement with the tier one entertainment and media giant.’
Shares in Mirriad Advertising have more than doubled since the beginning of September 2020 to open 4.71% higher this morning at 44.5p following the announcement.
Mirriad also cited the recent launch of the Music Alliance alongside Red Light Management and B-Unique Record which was announced in October and November 2020, respectively.
Despite the negative impact of the ongoing Covid-19 pandemic, Mirriad said it expects to be trading in line with its previously published revenue guidance of around £2.2m for FY20.
John Pearson, Chairman of Mirriad said the fundraise “continues the momentum” established by its recent breakthrough US commercial agreement and the launch of the Music Alliance.
He highlighted to investors that, “These positive developments demonstrate how we are delivering effectively against our strategy and engaging new partners with our technology."
“Our strategic focus on increasing the adoption of our technology with content owners, advertisers and their agencies, whilst keeping careful control of our costs, is showing positive results as we work to further improve shareholder value,” said CEO, Stephan Beringer.
He added, "These additional funds will allow us to capitalise on the enthusiasm for our solution in the market by augmenting our sales power and accelerating the expansion of our platform to include the significant new commercial opportunities in music and live experiences."
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