RE: Punting money18 Jul 2019 13:42
going bust out of question now /
"We urgently set about looking for ways to refinance the business through a combination of asset sales and fundraising. Three and a half months on, we have largely completed the rescue by securing a new, strategic majority investor, which has stated that it is prepared to invest further funds. The final phase of the fundraising is in progress and we expect an additional GBP4.5 million to be raised in the coming weeks."
Aalbers said these funds will provide the company the neccessary resources to implement its revised strategy and put the company "on a solid path towards both growth and profitability".
"Nevertheless, the Company needs to further consolidate and control our operating costs to support the new model," he added.
Earlier this week, 7digital appointed Tamir Koch as non-executive chair.
Koch is currently president of eMusic, an online music and audiobook store focusing on discovery and sales of independent music and artists.
7digital said Koch along with his partners is co-ordinating GBP6.5 million in funding for the company. 7digital didn't specify the type of funding planned, whether debt or equity. Koch and his partners have already invested GBP2 million by purchasing existing loan notes and subscribing for new shares in 7digital.